The Commercial Court has granted summary judgement in favour of AIB against Simon and Paddy Kelly for the sum of €3.58m on personal guarantees for debts arising from the collapsed Thomas Read Group of pubs.
Paddy Kelly, of Clonmore, Shrewsbury Road, Dublin and Simon Kelly, The Rectory, Dunganstown, Co Wexford, gave personal guarantees on a current account overdraft facility of €3.6m for Sharmane Ltd, one of the Thomas Read Group of companies.
The group went into receivership in March of this year with debts of €26.7m. Mr Justice Peter Kelly described the defence put forward by the Kellys as 'a purely technical one and as unattractive a line of defence as I've seen for a long time'.
Counsel for the Kellys, Gary McCarthy SC, had argued that the bank had advanced the money agreed before formal guarantees from the Kellys had been received. Mr Justice Peter Kelly refused an application for a stay on the order, pending an appeal.
