The liquidation of Clerys is set to cost the taxpayer close to €3m in redundancy and other payments.
The department store was placed in liquidation on 12 June just hours after it had been sold by Gordon Brothers to a consortium called Natrium led by Irish businesswoman Deirdre Foley.
The business had previously been split into two subsidiaries: OCS Properties which held the valuable O'Connell Street property, and OCS Operations which carried out the day-to-day operations of Clerys.
On the day of the sale, OCS Operations was deemed insolvent and liquidators KPMG were appointed.
However, because of the division of the company into two the Clerys building cannot be used to offset the debts to employees, concession holders and other creditors.
Statutory redundancy entitlements will be paid to 130 direct Clerys employees.
The State may face further liabilities if concession holders experience financial difficulties as a result of the Clerys liquidation with further statutory redundancies.
The Department of Social Protection said that redundancy and other payments for workers are being processed from the Social Insurance Fund.
They estimate that the cost to the taxpayer will be between €2m and €3 million but it will probably be closer to €3m.
It is understood the department is still examining its potential legal options to recover any of that cost from the new owners.
The owners have repeatedly stated that the Clerys liquidation is a matter for the liquidator KPMG.
Natrium is understood to be planning to redevelop the iconic Clerys site.
