Today in the pressFriday 01 August 2014 09.59
NAMA SEEKING TO QUESTION DUNNE’S SON - The National Asset Management Agency is seeking to question the son of developer Seán Dunne under oath in its attempts to find out more about the Co Carlow man’s finances, reports The Irish Times.
The State property agency has issued John Dunne with legal papers, either a subpoena or notice of deposition, seeking to ask him questions as part of its trawl for information about his father’s business.
Mr Dunne jnr, whose father went bankrupt with debts of $942 million (€690 million), is in his late 20s and living in New York where he is building a luxury commercial development at a cost of $21.5 million (€15 million).
Mr Dunne revealed that NAMA is seeking information from his son in a filing dated July 28th, 2014, in the United States bankruptcy court district of Connecticut, Bridgeport division. He states that NAMA began this process involving his son on June 25th, 2014.
Mr Dunne Snr accuses NAMA of “abusing the discovery process” and of going on a “vast fishing expedition” by seeking information from his son as well as 13 other parties including banks, lawyers and various advisers.
Mr Dunne Snr makes the accusation as part of an attempt by the developer to question Brendan McDonagh, the chief executive of NAMA.
BUDGET WILL SET OUT RISK LIST FOR IRISH ECONOMY - Budget 2015 will set out more clearly the risks posed to the State's economic and fiscal forecasts after criticism from the State's budgetary watchdog that this was largely missing from recent projections, according to The Irish Independent.
Finance Minister Michael Noonan has also admitted the make-up of Budget 2014 could have been set out in a clearer way.
The issues were detailed in letters sent by the minister to the Fiscal Advisory Council.
In its latest assessment report, the Fiscal Advisory Council said that while this year's Budget contained a so-called Statement of Risk, updates to the Budget forecasts published in April's Stability Programme Update provided only brief detail on the possible threats that could derail the new projections.
Specific risks were not outlined, the council said.
Responding to the criticism in a letter last week, Mr Noonan said a risk statement would now be provided in future.
And he added: "By way of background, my department intends to improve the comprehensiveness of the statement of risk in the upcoming Budget, which should address some of the concerns of the council."
Risks set out in the SPU included the fragility of the external recovery, low inflation, the concentrated nature of the strong IT services sector in Ireland and issues surrounding household indebtedness. But the council called for more detail.
NAMA ENTITLED TO ENFORECE €77M CROSBIE JUDGEMENT – The Irish Examiner reports on a High Court judge’s ruling which say that NAMA is entitled to enforce a €77m judgment against certain assets of businessman Harry Crosbie.
Mr Justice David Keane, however, granted Mr Crosbie a limited stay preventing NAMA enforcing against a limited number of assets pending the outcome of a Supreme Court appeal against the judge’s decisions.
The limited stay means NAMA may enforce against assets excluding Mr Crosbie’s home at Hanover Quay, Dublin, and a number of limited assets linked to relatives of his.
NAMA’s €77m judgment arose from personal debts of Mr Crosbie and guarantees of liabilities of Shoal Trading Ltd and Ossory Park Management Ltd. Judgment is not being sought for other sums due under a separate €353m facility for development of the Point Village, recourse for which is limited to assets provided as security, plus an additional personal recourse amount.
Mr Justice Keane gave judgment yesterday on two applications arising from his decision in June that NAMA was entitled to summary judgment orders for €77m.
The first application, brought by Mr Crosbie, was for a stay, pending the outcome of his plenary action against NAMA, on the judge’s ruling NAMA was entitled to €77m summary judgment. The judge refused that stay.
EUROPEAN COMPANIES FEELING RUSSIAN PAIN – Companies across Europe say the crisis in Russia and Ukraine is already taking its toll on business, reports The Financial Times, as stringent sanctions imposed on Moscow sends ripples through boardrooms.
The warnings were issued as the EU published details of its toughest sanctions on Russia since the end of the cold war.
Shares in Adidas, the world’s second-largest sportswear group, dropped 15% after the company issue a profit warning and said ti would accelerate the closure of Russian stores because of risks to consumer spending.
Volkswagen, Europe’s biggest carmaker by sales, reported an 8% decline in sales in Russia in the first half of the year compared with last year.
Joe Kaeser, chief executive of Siemens, warned that geopolitical tensions, including those in Ukraine, posed “serious risks” to European growth.
Metro, the euro zone’s second largest retailer, pointed to risks in the region as it disclosed that sales had declined sharply in Ukraine.
The German group said a listing of part of its Russian arm had been put on hold.