A number of subcontractors who were owed money by failed developer Roadbridge have petitioned the High Court to appoint a liquidator for the company.
oadbridge, which until earlier this year was one of Ireland’s highest profile developers, was placed into receivership by its largest creditor, the Bank of Ireland, in March.
But two weeks ago a petition was brought to the High Court by McTigue Quarrys Ltd, a company based in Tuam, Co. Galway, and Oliver Conroy Plant & Agri Hire Ltd, based in Rochfortbridge, Co. Westmeath – both creditors of the company , to the settlement of the construction company.
The motion is due to be heard in the High Court on November 21.
The move to liquidate the company by the quarrying company and equipment rental company is believed to have been taken in order to get commercial creditors on par with the Bank of Ireland in a liquidation process, sources say.
In May the Sunday independent reported that a number of the company’s commercial creditors had raised questions about the move to place the company under receivership.
They had questioned the safety of the Bank of Ireland’s debt, arguing that it should not rank higher than other creditors.
Trade creditors were owed around €50m and bondholders around €80m, with the Bank of Ireland allegedly holding €33.6m of preferential debt.
When asked about the matter, a Bank of Ireland spokesman said: “Bank of Ireland is a major creditor of Roadbridge, having worked with the company for many years, and as creditors we continue to participate in the bankruptcy proceedings.
“We have no further comment. Any questions regarding the receivership process should be directed to the receiver.”
Brian Coogan, chief executive of the Irish Plant Contractors Association (IPCA), which represents many of the subcontractors affected by the difficulties at Roadbridge, said he supports the winding-up move because he has serious concerns about the outcome of the ongoing receivership process.
“IPCA believes it is really important that all creditors are treated equally in situations like this,” he said.
https://www.independent.ie/business/irish/roadbridge-trade-creditors-seek-wind-up-to-ensure-equal-ranking-with-boi-in-debt-recovery-42138144.html Roadbridge’s commercial creditors are seeking resolution to ensure they are par with BoI in debt recovery