I believe the revelation of the overall value of Sean Dunne’s creditors last night – put at USD 942m on his filing – took some by surprise, with the expectation the total would have been closer to the USD 500m lower limit in the range Sean had indicated in his initial filing on 29th March 2013. Sean has even omitted a liability when he notes the amount owing to KPMG as “unknown”.
This is a brief blogpost on the creditors. Firstly this is the list sorted in descending order. We had previously known of a €164m (USD 215m) judgment against Sean in favour of Ulster Bank, so it was a surprise to see Sean listing his Number 1 debtor as Ulster Bank owed USD 394,334,536. It was also surprising to see another NAMA developer, O’Flynn Construction listed as being owed USD 102,061,490; however, it is understood that this loan was in de facto provided by Irish Nationwide Building Society and the loan has since been transferred to NAMA, so it is NOT O’Flynn Construction which is the owed the money. Alas, NAMA won’t comment on individual loans.
If we group the loans according to assignment, we see that NAMA is in fact Sean Dunne’s largest creditor with USD 445,323,628 owed, comprising original loans from IBRC of USD 188,216,722 and Bank of Ireland of 151,158,009 and O’Flynn Construction of USD 102,061,490. Bank of Scotland’s loans appear to have been all assigned to Certus though a company incorporated last November 2012 called Risali Limited appears to have acquired USD 16,975,267 of those loans.
If we group the loans according to type, we see that an astonishing USD 612,217,333 is “unsecured non priority” with only USD 280,215,656 secured. All of the banks appear to have been guilty of advancing loans not secured on specific property, which must surely call into question further the behavior of Irish banks during the boom.