The KBC legal action against Treasury Holdings which was adjourned at the start of August, is set to continue this morning [CORRECTION: The Court Service has not updated its daily list since 8th August, 2012 and the case is not in fact due to continue until Monday 27th August]. KBC is seeking a winding up order for Treasury, on foot of a claim for outstanding loans of €30m. Treasury Holdings which was founded by the colourful Johnny Ronan and understated Richard Barrett is mired in litigation with NAMA – Treasury lost its judicial review case against the Agency last month, but was set to appeal. Separately NAMA is suing Treasury and its founders over debts. Treasury is also suing NAMA over the treatment of debt associated with the Battersea Power Station site in central London – it’s a veritable “Litigationfest”, but if Treasury is wound down today, then that may undermine the future of any litigation.
Meanwhile a separate Treasury company, Treasury China Trust (TCT) which is listed on the Singapore stock exchange and which is a major developer in China, faces “charges from one of its investors that the firm is run for the benefit of its fund managers and lacks independent board oversight” – in fact the charges are at this point no more than claims by a TCT minority shareholder – whose name is Mano Sabnani – and “Richard David, chief executive of Treasury China Trust (TCT), denied the charges and indicated that controls over the group’s management by Singapore regulatory bodies should be sufficient to protect shareholders’ interests”
Treasury has been at pains to draw a distinction between Treasury Holdings in Ireland (which also has assets in the UK) and Treasury China Trust. The Irish operation has exposure of €1.7bn to NAMA and is generally heavily indebted. The China operation is understood NOT to have exposure to NAMA, and seems to be in an altogether financially healthier condition. Regardless, it is a challenging time for Treasury’s founders…
UPDATE: 21st August, 2012. The case is not in fact due to continue until Monday 27th August, 2012. The “Daily List” at the Courts Service has not in fact been updated since 8th August 2012.
The origins of the latest TCT fisaco was posted on here late July,second comment last link.
http://namawinelake.wordpress.com/2012/07/31/treasury-loses-judicial-review-challenge-to-nama/
Perhaps a bit more to it than a letter in the paper….
“The Board had received letters dated 28 July 2012 and 31 July 2012 from the Former Directors (the “Letters”) notifying the Board that they disagreed with the information stated under the following columns in the Cessation Announcements:- “(i) are there any unresolved differences in opinion on material matters between the person and the board of directors, including matters which would have a material impact on the group or its financial reporting?”, “(ii) is there any matter in relation to the cessation that needs to be brought to the attention of the shareholders of the listed issuer?” and “(iii) any other relevant information to be provided to shareholders of the listed issuer?”.
http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MTQ5MjIwfENoaWxkSUQ9LTF8VHlwZT0z&t=1
Looks like KPMG decided to put the boot in too and distance themselves,it’s at times like this that you find out who your real friends are.
NAMA has the 85 million B piece of Opera,which is shall we say struggling.
One the biggest tenants is yep KPMG who announced last week their intention to vacate,but good news is they require a new headquarters building.
Did NAMA jump the gun on the Anglo building,they should at least be in KPMG’s face with alternatives,the timing of the decision to vacate very curious.
Was a press release really required….
And yes NWL here are the sources!
“The loan will be used to replace existing borrowings, driving down costs while also freeing up cash and is the first single large real estate loan to be securitised in Ireland. It is to be secured against 16 retail and office properties (15 in Dublin and one in Cork), including the Stillorgan Shopping Centre and offices occupied by Bank of Ireland and KPMG. ”
http://www.treasuryholdings.com/news/media/treasurymedia/archive/propertysecuritisation/
“The Big4 firm has a lease in place to remain at its current premises until 2017, but the company’s 1600 Dublin downtown-based employees may all find a new home at a new headquarters that may be as large as 200,000 square feet.”
http://www.big4.com/kpmg/kpmg-looks-for-new-irish-headquarters/