High Court hears of bid to halt sale of Longford hotel

High Court hears of bid to halt sale of Longford hotel

A retired businessman and brother of the late former Taoiseach Albert Reynolds has launched High Court proceedings aimed at thwarting the potential sale of the Annaly Hotel, writes Liam Cosgrove.

Jim Reynolds initiated the move in an attempt to prevent a financial fund and its receivers from marketing and selling the vacant hotel and two other properties he owns.

The other properties include  two terraced houses on Elgin Road in Ballsbridge.

In his action Mr Reynolds is seeking injunctions preventing financial fund Promontoria (Aran) Ltd and receivers appointed over the properties, Kieran Wallace and Patrick Horkan of KPMG, from selling the three properties.

He also wants the court to prevent the defendants from placing, advertising, marketing the properties for sale, or from inviting and accepting offers for the properties. Mr Reynolds is also  seeking orders preventing the defendants from holding themselves out from having as having a power of sale over the properties.

At a High Court sitting last Thursday Mr Reynolds was granted permission from Ms Justice Miriam O’Regan for service of the proceedings at short notice on the defendants.

The court was told the dispute centres on claims that Mr Reynolds entered into mortgage agreements in 2005 and 2009 with Ulster Bank over the properties.

 In granting service of the proceedings on an ex-parte (one side only represented) basis, the case was adjourned to later this week.