A receiver has been appointed in the Commercial Court over the properties of four companies owned by Liam Carroll’s Zoe group.
Mr Justice Peter Kelly said the receiver may take possession of interest of properties owned by Danninger Ltd, Eppo, North Quay Developments and Oze Construction and manage them as rented properties where appropriate.
He refused the power to sell them saying it would make no sense trying to sell the properties given the 'wretched' state of the market.
He also declared AIB’s claim for €554m stands well charged against the four companies in question.
Giving his judgment, Justice Kelly said there was little doubt that letters of undertaking given by solicitors for the four Zoe group companies charged the properties in favour of AIB.
The judge reiterated that the letters were an unusual form of security given the extraordinary amounts in question, but acknowledged they were issued pending legal mortgages being put in place.
Despite the letters being less satisfactory, he said it did not mean they were devoid of legal effect. He said he was satisfied that AIB was entitled to a declaration their demand for repayment of some €554m along with continuing interest from the companies was well charged.
None of the Zoe groups companies were represented by counsel in court.
A decision relating to a fifth company owned by the Zoe group will be made next week.
