NAMA, John Flynn, Leona Flynn
Leona Flynn, wife of
property developer John Flynn, has lost her case against NAMA after the High
Court ruled that Mrs Flynn was a borrower of NAMA in respect of the Belfield
Office Park loan.
Mrs Flynn, whose family are
being pursued by NAMA for €22m, took the legal action against NAMA contending
that she was not a debtor of NAMA.
She was asking the court to
declare that she was no longer the owner of the Belfield shareholding, having
transferred her 10 per cent interest in Belfied Office Park to her husband.
However, in a judgement
issued today in the High Court, Mr Justice Cregan ruled that Mrs Flynn is
'indebted' to NAMA in respect of the Belfield Office Park loan.
It also noted that while an
agreement between John and Leona Flynn to transfer her interest in Belfast
Office Park was entered into in September 2007, it was not binding on Anglo
Irish Bank.
The court concluded that
there was no evidence that David Drumm, then Chief Executive Officer of Anglo
Irish Bank, had agreed to release Mrs Flynn from her guarantees and indemnities
to the bank.
The Flynns' submission that
NAMA had engaged in deliberate overcharging was also rejected.
However, the judgment found
that Nama gave misleading reasons for demanding repayment of loans in two
letters it sent to the Flynns.
The Judge concluded in
setting out "incorrect and misleading reasons" the agency acted
"unfairly and unlawfully in breach of its duty of transparency."
The judge said the agency
denied the Flynns the right to be heard.
Keywords: NAMA, High Court,
Anglo Irish Bank, john flynn, leona flynn
