Update on the Special Liquidation of IBRC highlights on-going progress

05.05.17

Update on the Special Liquidation of IBRC highlights on-going progress

Friday 5th May 2017

The Minister for Finance, Mr. Michael Noonan T.D. today welcomed the fourth Progress Update Report on the Special Liquidation of IBRC which he received from the Special Liquidators, Mr Kieran Wallace and Mr Eamonn Richardson and which is available on the Department of Finance website. This report was formally requested by the Minister for Finance through the Department of Finance following discussions over the past few months and will be referred by the Minister for Finance to the Oireachtas Committee on Finance, Public Expenditure and Reform for their consideration.

Commenting on the satisfactory progress of the liquidation to date the Minister for Finance, Mr. Michael Noonan T.D. stated:

“This Progress Update Report highlights the continued progress on the liquidation. Following on from the 25% interim dividend that the Special Liquidators commenced paying to admitted unsecured creditors of IBRC in December 2016. The Special Liquidators have a cash balance on hand of approximately €1.92bn.”

Minister Noonan also highlighted the importance of the on-going creditor adjudication process:

“The Special Liquidators have outlined that it continues to be their expectation that the eventual unsecured creditor dividend will be in the range of 75% - 100% of all eligible claims. However, the ultimate level of dividend paid to each creditor cannot be known until all remaining tasks have been completed.”

“I would therefore again encourage all potential unsecured creditors to continue to engage with the Special Liquidators in relation to having their claims admitted as the Special Liquidators will be making catch-up payments on a quarterly basis to creditors whose claims have been admitted during that quarter.”

“I would like to commend the Special Liquidators and all those who have contributed to this project for their hard work over the past four years and the promising results of their efforts to date. While there remains a number of tasks to be completed in the liquidation, I am confident the Special Liquidators will deliver on all remaining tasks. I am satisfied with the financial outcome of the liquidation to date which has exceeded the expectations at the outset and has not resulted in any further cost to the Irish taxpayer.” 

Friday 5th May 2017

ENDS

 

For Further information contact:

David Byrne, Press Officer 086 026 7978 pressoffice@finance.gov.ie

 

Notes for editors

The ultimate level of dividend paid to each creditor cannot be known until such time as all loan assets are sold, the total level of adjudicated creditors is finalised and the other contingent creditor claims which may crystallise, including those from litigation, are known.

Tasks which remain to be completed include:

  • the on-going management of circa 175 legal cases (which has reduced from about 350 cases since May 2016)
  • the completion of the creditor adjudication process
  • the work with the Commission of Investigation
  • the management of the remaining loan book
  • the realisation of all remaining assets and
  • the completion of various projects which include the interest overcharge remediation project and the tracker mortgage examination