An action by Anglo Irish Bank to recover a debt of over €8m from its former chief executive David Drumm has been adjourned for three weeks at the Commercial Court.
Lawyers for the US trustee in bankruptcy in Massachusetts, who is administering Mr Drumm's estate, appeared before the court today.
Barrister Bernard Dunleavy apologised on behalf of the US trustee, Kathleen P Dwyer, for not coming before the court earlier. He said Ms Dwyer had only been informed about the legal proceedings on October 18 and meant no disrespect to the court.
He said the trustee would be applying for an order from the Irish bankruptcy court next Monday, recognising the US bankruptcy proceedings.
He said the trustee would be asking the Irish courts for an order registering Mr Drumm's interest in his former home in Malahide in the trustee's name so it could be sold to pay creditors.
Mr Dunleavy said Mr Drumm had until October 29 to file a statement of affairs with the US court and had not done so yet.
He said that the trustee had to examine the counter claim being made by Mr Drumm against Anglo Irish bank for €2.6m relating to the termination of his employment and bonuses he says he was due.
Mr Dunleavy said this could potentially be an asset in the bankruptcy and the trustee had to take a view about whether there was merit in the counterclaim and whether it would be possible or prudent to pursue it.
Lawyers for Anglo Irish Bank said they could not proceed with the case against Mr Drumm at the moment as they had a presence in the US and they had also received legal advice that any claim they could make in the bankruptcy in the US could be prejudiced if they pursued the legal proceedings here.
Mr Justice Peter Kelly adjourned the matters for three weeks. He also kept in place an injunction preventing Mr Drumm's wife, Lorraine, from transferring half of the Malahide house back into her husband's name.
