The High Court has appointed an examiner to Tivway, a subsidiary of the Cork property development group Fleming, arising from a claim by ACCBank for unpaid loans totalling almost €22m.
This gives Tivway breathing space to arrange a scheme to repay its debts.
The court heard that if a receiver were appointed and the company were wound up, 650 jobs could be lost in the wider Fleming group.
Tivway also owes €268m to Anglo Irish Bank, which supported the appointment of the examiner.
Earlier, Lyndon McCann, senior counsel for Tivway, told the court the jobs of 650 employees of the Fleming group are directly and indirectly at stake through the degree of interdependence between them if an examiner were not appointed.
This was disputed by Denis McDonald, senior counsel for ACC, who argued that Tivway was not a company 'in the ordinary sense of the word' and held only two property assets. He also said that if an examiner were appointed and the debts of the Fleming group came under the auspices of NAMA, ACCBank may find itself 'at a disadvantage'.
