The budgeting and bill paying service Home Payments, which ceased trading earlier this month, has been officially wound up by the High Court.
The court was told the company was indebted to the tune of €6m to customers and €4m to its bank.
Lawyers for AIB told the court it was refuting suggestions made by the directors of Home Payments that the bank was to blame for its insolvency.
AIB says it prevented Home Payments from withdrawing €2m from an account amid concern for customers. The court heard that on August 3 last, the company sought to withdraw €2m from an account and the bank refused because it was concerned that thousands of euro were due to be paid to utility companies on behalf of clients.
Lawyers for the bank said the directors of the company had, in sworn statements to the court, sought to put forward a view that the bank had an alternative agenda in refusing to allow the withdrawal. However the bank's sole concern was for customers, the court was told.
Lawyers for the directors of Home Payments said they rejected any allegations of wrong doing by AIB. Ms Justice Mary Laffoy said those issues could not be dealt with at today's hearing which was for the purpose of appointing official liquidators.
She appointed Eamonn Richardson of KPMG and Eamonn Leany of Leahy and Company as official liquidators and made an order for the winding up of the company.
The court was told that the insolvency of the company was not in dispute. It had insufficient assets to meet the demands to repay money owed to customers.
