Seán Dunne case over assets transfers to wife to be fast-tracked by Commercial Court

A dispute over whether bankrupt developer Seán Dunne validly transferred various property assets to his wife Gayle, including a hotel in South Africa, is to be fast-tracked by the Commercial Court.

Mr Dunne has debts of up to €700 million and Chris Lehane, the official administering his bankruptcy, has brought proceedings against Gayle Dunne seeking to set aside purported agreements under which Mr Dunne allegedly transferred his interest in a number of properties in Ireland and South Africa to his wife. The properties include the Lagoon Beach Hotel in Cape Town.

Ms Dunne denies any wrongdoing.

In his proceedings, Mr Lehane wants the court to decide whether Mr Dunne owns the assets or whether they were validly transferred by him to his wife under agreements in 2005 and 2008 between the two.

Mr Justice Brian McGovern agreed yesterday to Mr Lehane’s application to fast-track the hearing in the Commercial Court.

Alan Doherty SC, for Ms Dunne, objected to the case being fast-tracked on grounds of alleged culpable delay by Mr Lehane in bringing the proceedings. Mr Doherty said the official assignee had a year to prepare for the case.

He said Ms Dunne had been “frog-marched” into court by the assignee and would need some considerable time to respond to the allegations against her.

Mark Sanfey SC, for Mr Lehane, denied any delay on the part of the official assignee and said a case could not be brought until all matters relating to Mr Dunne’s estate had been investigated.

A complex investigation was made more onerous by Mr Dunne, who was adjudicated bankrupt last year, not furnishing a statement of affairs nor attending at the assignee’s office, Mr Sanfey said.

Mr Justice McGovern has adjourned the case to later this month to allow the sides to discuss a timetable for exchange of legal documents. If no agreement is reached, the court will fix a timetable for that.