THE MANAGING director of Buy Sell Ltd and another member of management have secured an interim High Court order restraining the company and others from dealing with shares in the company to which they claim entitlement under an agreement related to the €20 million acquisition of the company a year ago.
Mr Justice Peter Charleton also yesterday granted an interim order restraining the company from appointing on a permanent basis any person to discharge the duties of managing director of Buy Sell. It was claimed another person is currently discharging such duties.
Both orders were made returnable to Monday week, with liberty to apply in the interim.
The orders were sought by Michael Howard SC, for Gary Povey, who was employed by Buy Sell as group sales manager in 2006, and Rory Finegan, who said he is managing director of Buy Sell Ltd and a former financial controller of the company.
The proceedings are against Niall McFadden, Declan Cassidy and Martin Cole, trading as Boundary Group, Boundary Capital plc, Naldin Ltd, Zarling Ltd and B S Ltd.
Naldin was the vehicle used to take over Buy Sell in May 2007 from Associated Newspapers, while Zarling, described as an affiliate or subsidiary of Boundary, owns all shares in Naldin.
The action is aimed at enforcing an alleged agreement with Boundary concerning the acquisition of Buy Sell by Naldin, the initial and ongoing financing of Naldin and the management of the company and Naldin.
Under that alleged agreement, Mr Povey and Mr Finegan are claiming an entitlement to shares and are challenging the alleged refusal of the defendants to allow both men subscribe for shares as allegedly promised.
Mr Povey and Mr Finegan claim the defendants have engaged in recent attempts to intimidate them and to prevent them participating in the affairs of the company in accordance with their contractual entitlements.
In an affidavit, Mr Finegan said the result of the actions of the defendants was to prevent Mr Povey and himself from being in a position to ensure the company achieved its full potential.
