ANGLO SUES FORMER DIRECTOR OVER UNPAID LOANS OF €50m - A former leading figure in Anglo Irish Bank is being pursued by the nationalised lender for €50m over unpaid loans, says the Irish Independent. The bank is seeking summary judgment orders in the Commercial Court against Tom Browne, the one-time head of its Irish lending division. Mr Browne's loans were secured against shares in the bank and various property investments. The bank's former chief executive David Drumm was facing a similar action, although this has been put in doubt after he filed for bankruptcy in the US. Anglo also pursued its former chief executive and chairman Sean FitzPatrick over unpaid directors loans, before he too filed for bankruptcy earlier this year. Mr Browne, of Ferney Hill, Brighton Road, Foxrock, Dublin, claims he is being singled out by Anglo because of his previous position with the bank. He claims "negligent acts" by Anglo and state bodies between late 2007 and January 2009, resulting in the bank's nationalisation. This in turn had led to the collapse of the bank's shares, resulting in him suffering substantial losses as a result.
***
DUBLIN-BASED CHASE TRAVEL FIRM CLOSES - Dublin-based travel wholesaler Chase Travel has ceased trading. The company, which sells hotel rooms on a wholesale basis to travel agents, employs approximately 30 people at its offices in Malahide, Co Dublin. The Irish Times says that consumers are not likely to be directly affected by the closure of the company as the firm sells hotel rooms to travel agents rather than directly to consumers. Simon Nugent, chief executive of the Irish Travel Agents' Association, said he expects the impact on consumers to be "minimal". Because it supplies beds to the trade, rather than directly to the customer, travel agents will make alternative arrangements for customers." Mr Nugent said the association had already been in contact with its members about making alternative arrangements. Chase Travel was founded by Brazilian-born Darryl Ismail in 1990. A former Entrepreneur of the Year finalist, Mr Ismail (42) won the Permanent TSB Ethnic Entrepreneur of the Year award in 2009. Chase sells to travel agencies across the world, as well as Ireland. It offers discounted prices on up to 40,000 hotels and apartments across the world.
***
FOUR SEASONS HOTEL EXPECTED TO BE SOLD BY END OF YEAR - A buyer for Dublin's Four Seasons Hotel is expected to be found before the end of the year, according to the Irish office of international real estate specialists CB Richard Ellis which is in charge of the sale process, writes the Irish Examiner. The company said yesterday that it has received "an encouraging level of enquiries" in recent weeks - mainly from overseas investors. The hotel's owners - the Nollaig Partnership of investors - announced, in September, that they were putting the upmarket Ballsbridge property on the market after posting €2 million in losses for its latest financial year. The owners also owe €50m to Anglo Irish Bank, although it isn't expected the eventual sale figure will cover this debt by itself. Meanwhile, according to CBRE's latest market update, activity in the Irish commercial property sector is on course to beat full-year expectations - with €170m being invested during the first nine months of the year - but the outlook remains unclear.
***
MPs TO BE WARNED ON 1.6m JOB LOSSES - Job losses at UK private companies are likely to exceed those in the public sector following the government's spending cuts, according to research by the Chartered Institute of Personnel and Development says the Financial Times. The institute's research suggests that job losses in the public sector will rise to 725,000, John Philpott, the CIPD's chief economic adviser, will tell the Treasury select committee on Tuesday. This is far higher than the 495,000 estimated by the Office for Budget Responsibility. On top of this, the CIPD is forecasting that job losses in the private sector - which will also be hit hard by the rise in value added tax in January from 17.5 to 20% - will total about 900,000. Employment will suffer as reduced demand for many goods and services hits company revenues and profits. Up to 500,000 of the private-sector job losses will reflect spending cuts hitting companies dependent on government contracts or other employers within their supply chains, says the CIPD. "The rest of the losses are in the form of reduced demand," said Mr Philpott. The public sector pay freeze for workers earning £18,000 or more a year will mean cuts in real pay, while the increase in VAT will also reduce discretionary income as some basic goods and services will cost more, he added.
