Case Study 1

The ombudsman directed a bank to pay €10,000 to a company after one of its managers allowed his personal affairs to be mixed …

The ombudsman directed a bank to pay €10,000 to a company after one of its managers allowed his personal affairs to be mixed up with the business affairs of the company.

The manager allowed the company to run up a large overdraft at a time when he was having extensive renovations carried out on his home by the company. The company became insolvent and was wound up, and then brought a case to the ombudsman arguing that the manager should not have allowed the build-up of debt.

The ombudsman found that the relationship between the manager and the company was "not entirely satisfactory" and ordered the bank to write off two-thirds of the €15,000 it was owed by the company.