Order against businessman over loan deals

A County Tipperary businessman has consented to judgment orders of more than €19m being granted against him over unpaid loans and guarantees.

A County Tipperary businessman has consented to judgment orders of more than €19m being granted against him over unpaid loans and guarantees.

Bank of Ireland sought the orders against Michael Woodlock, arising from a July 2011 agreement under which it made nine term loan facilities totalling some
€15m available following
 the restructuring of his existing facilities with the bank.

It was stipulated that most of those loans would
be extended for a period of just three months to September 2011 after which they would be repayable on demand.

Two loans, for sums totalling about €80,000, were extended for a maximum 26 months.

When the loans were not repaid as agreed the bank then issued formal demands for repayment after which it initiated the legal proceedings.

The claim also arose
from alleged guarantees provided by Mr Woodlock in 2011 covering liabilities
of Flancare (Clonmel) Distribution Ltd up to €528,000, plus credit advances to
Ellen Woodlock of up to €2.4m.

Judge Peter Kelly agreed to transfer the bank’s case to the Commercial Court after being told by Rossa Fanning, for the bank, Mr Woodlock was consenting to transfer and to judgment.

Given Mr Woodlock’s attitude, the judge said he would only award costs totalling €195, the lowest amount possible, against him.