Ierland Nee
75 per cent writedown for the banks
In Holland it's not unknown for people to read under the street lamps outside their houses to save a few Euro-cents on electricity. So it's no surprise that Utrecht's Rabobank is now after the developer of goedkoop flats in Ireland. Rabobank, localised as "ACC", is using a ploy to get Irish taxpayer cash from the NAMA gravy-train.
Zoe Developments apparently owns a site on a Sandymount Strand nature reserve possibly named after a mobster's girl called Fabrizia. It is very curious how this public beach was liberated from the public with the apparent help of esteemed Allied Irish Bank. AIB does a lot of business with Zoe and is perhaps in this hole for 400 million Euro - a sum high up on the list to be transferred to those fools, the Irish taxpayers, using the ninety thousand million NAMA scam, sorry strategy. This caper has already shut down hospital operating theatres.
Right beside the Fabrizia site is the 450 million Euro and NAMA-ready Irish Glass Bottle site. Do our Downtown Niggers(*1) use their disposable cellphones to do business with Anglo-Irish Bank and the Dublin Developers Autocracy (DDDA)? Or is it now exclusively with NAMA?
Just a few hundred metres from these spec-sites is Europe's, and Africa's, largest planned waste-to-toxins incinerator - to be run by a New Jersey outfit which has been fined for dioxins pollution and six thousand other violations.
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Footnotes:
(*1) See HBO's The Wire for appropriate language examples.
2. The lawyer for the incinerator promotors seems to be the same lawyer as the lawyer representing the owner of the Fabrizia site. There is only a limited pool of honest professional talent in Ireland.
3. Irish Times:
Applying for court protection Zoe said that if the group of six companies, which have total debts of €1.2 billion, was liquidated, they would have a deficit of €900 million. Based on this writedown value, properties on which it has borrowed €1.1 billion from eight banks would fetch €275 million if they went on sale this morning.
That means a 75 per cent writedown for the banks. For ACC it means a loss of about €100 million, which is more than manageable for Rabobank. For AIB it is proportionally larger €367 million. For Bank of Ireland, which is owed €113 million, it is €84 million. But when you apply it across the rest of the distressed part of its commercial property book, which would be the consequence of liquidating the other insolvent property companies, you really are looking into the abyss.
http://www.irishtimes.com/newspaper/finance/2009/0720/1224250947332.html
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Debts force plea for protection
http://www.independent.ie/opinion/analysis/debts-force-plea-for-protection-1829597.html
The €1.2bn owed by Liam Carroll's companies to banks has left observers flabbergasted, writes Maeve Sheehan
Sunday July 19 2009
THE news that the group of companies owned by Liam Carroll, the Zoe Developments group, were insolvent should hardly have been a surprise.
The property market has collapsed. The millionaire moguls spawned by the boom have found themselves teetering on a financial precipice.
On Friday, they were pushed even further over the edge when one of the giants of their game over the past 20 years asked the High Court to protect his companies from banks looking for their money back.
Mr Carroll asked for court protection for companies in his Zoe Group on Friday after ACC Bank threatened to wind up six companies in pursuit of debts of €131m. His lawyers want an examiner to be appointed to help the companies survive and prevent an attack on the dozens of companies that make up the group.
During the course of the hearing, it emerged that companies within Mr Carroll's group owe a spectacular €1.2bn to an array of banks. The group is also insolvent and the court heard that, were the group to be liquidated, there would be losses of €900m.
AIB is owed €489m; Bank of Scotland (Ireland) is owed €321m; Bank of Ireland is owed €113m; Ulster Bank is owed €82m; Anglo Irish Bank is owed €38m; KBC Bank Ireland is owed €23m and EBS building society is owed €8.5m.
Counted out like this, the level of debt has staggered even seasoned economists and bankers. The Zoe companies' debt to banks constitutes one-fifth of the €5.3bn public- sector cuts recommended by An Bord Snip Nua.
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