Mick Wallace in serious financial trouble

[borntorum]

Mick Wallace owes €40 million to the banks, but up to now they have allowed him to continue trading. However, according to the Irish Times he is worried that his creditors intend to liquidate his companies:

The accounts for the year to the end of August 2008 show the company owed the banks €42.7 million. It lost €2.67 million during the year and wrote down assets by €2.12 million. At the end of the period, the company had shareholders’ funds of €13.5 million.

In spite of this, he didn't do too badly himself:

Mr Wallace and his fellow director Sasha Wallace received remuneration of €289,605 during the year.

His banks are putting him under pressure to realise assets:

However, he said the banks were putting him under pressure to sell certain assets, including a site which he bought for €7 million which the banks want to sell for €1 million.

The article doesn't state whether there is a risk of Wallace being made personally bankrupt. However, if his loans are called in, and if he had given personal guarantees over them (as was standard procedure during the boom) he could be liable to have bankruptcy proceedings brought against him.

The Electoral Act prohibits bankrupts from sitting in the Dail. Perhaps Wexford might see the first by-election of the new Dail session?

http://www.irishtimes.com/newspaper/...291080489.html

[RBinge]

Mick Wallace owes €40 million to the banks, but up to now they have allowed him to continue trading. However, according to the Irish Times he is worried that his creditors intend to liquidate his companies:



In spite of this, he didn't do too badly himself:



His banks are putting him under pressure to realise assets:



The article doesn't state whether there is a risk of Wallace being made personally bankrupt. However, if his loans are called in, and if he had given personal guarantees over them (as was standard procedure during the boom) he could be liable to have bankruptcy proceedings brought against him.

The Electoral Act prohibits bankrupts from sitting in the Dail. Perhaps Wexford might see the first by-election of the new Dail session?

What would you like to see happen? Just curious.

[ocoonassa]

ITT we discover what is meant by Limited Company.

[Analyzer]

Well, it looks like he is at the end of the line.

He will be impeached.

Reminds me of the whole Beverly Cooper Flynn episode.

[borntorum]

What would you like to see happen? Just curious.

What a strange question. There's nothing I'd particularly 'like' to see happen. He seems like a genuine chap and I hope that he, and anyone else in financial difficulties, can work his way out of that.

But he's a TD now, and I thought that the story is relevant in that regard

[Desperate Dan]

Wish full thinking what else can you come up with.

[borntorum]

Well, it looks like he is at the end of the line.

He will be impeached.

Reminds me of the whole Beverly Cooper Flynn episode.

He won't be 'impeached', whatever happens.

And it's very different to the BCF episode. Nobody is suggesting that Wallace has been anything but honest and upfront in regard to his situation

[Desperate Dan]

He won't be 'impeached', whatever happens.

And it's very different to the BCF episode. Nobody is suggesting that Wallace has been anything but honest and upfront in regard to his situation

+100%

[we have turned the corner]

If he refuses to pay up and is declared bankrupt then there will be a by-election, end of story.

[tonic]

What a strange question. There's nothing I'd particularly 'like' to see happen. He seems like a genuine chap and I hope that he, and anyone else in financial difficulties, can work his way out of that.

What I would say he should do, is draw a line under his present situation, take what's coming and start afresh. He seems like a very capable man in his own way and unencumbered by large debts he should have no problem making a come back.