Businessman Paddy McKillen jnr has consented to a judgment against him over a debt of €2.3 million owed to a lender.
McKillen jnr’s concession arises in circumstances where he is seeking a personal insolvency arrangement.
He recently obtained a protection certificate after a court heard he had debts of €27.7 million. The certificate, obtained late last month, protects him from his creditors for 70 days.
At the High Court on Friday, Martin Hayden, for McKillen jnr, told Judge Eileen Roberts his client was conceding Herbert Street Finance’s (HSF) claim for €2.3 million. He said his side was not in a position to advance its claims, given the personal insolvency process now embarked upon.
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The concession comes in proceedings brought by McKillen jnr, in which he claimed HSF was not authorised under Central Bank regulations to grant the loan.
Bernard Dunleavy, for HSF, asked the judge to grant judgment in favour of the lender for €2,313,970. He asked for McKillen jnr’s claim against HSF to be struck out.
Last month, in an application seeking court protection from creditors, lawyers for McKillen jnr said he was “firmly insolvent” and had just €270 in his bank account.
McKillen jnr, of Torquay Road, Foxrock, Co Dublin, owes €2.9 million to his wife Edel McKillen and €1.8 million to his mother Maura McKillen, the court heard.
In August, McKillen jnr’s bid to strike down HSF’s bankruptcy summons over the lender’s claim was rejected by Judge Liam Kennedy.
The judge found McKillen jnr had not established that the summons was an abuse of process and brought for “an ulterior motive”.
Kennedy also said he was not satisfied McKillen jnr had raised a real and substantial issue to be tried in plenary proceedings. Establishing such an issue is grounds to set aside a summons, the judge said.
McKillen jnr was the co-founder of the hospitality group Press-Up.
