Newbridge credit union special manager agrees to court examination

Luke Charleton unable to settle differences with directors

The President of the High Court, Mr Justice Nicholas Kearns, adjourned the Newbridge credit union matter for hearing in four weeks. Photograph: Alan Betson

A special manager appointed to run Newbridge credit union is willing to be cross-examined about the level of fees he is seeking for the job, the High Court heard yesterday.

Efforts to resolve differences between the directors of the credit union and its special manager, Luke Charleton, over his fees have failed and the matter will now have to be trashed out before a judge next month.

Mr Charleton is happy to answer any questions about the matter, his counsel Rossa Fanning said yesterday.

Total costs so far for Mr Charleton, of accountants Ernst & Young, and of his team and of lawyers, are expected to be close to €2 million.

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Mr Charleton was appointed by the High Court in January 2012 following concerns by the Central Bank about the credit union’s financial position. Last month, when the court was asked to approve the latest fees sought, for some €563,000, the credit union’s directors complained they were not given enough material to indicate precisely what work Mr Charleton and his team are doing.

Yesterday, Mr Fanning, for Mr Charleton, said, following last month’s hearing, there had been meetings to try to resolve the differences but they appeared to be intractable and would now require resolution by the court involving cross-examination of the parties involved.

His client had no objection to this and was “perfectly willing” to answer any questions about the work he is doing.

The President of the High Court, Mr Justice Nicholas Kearns, adjourned the matter for hearing in four weeks. It may not be necessary to have cross-examination if matters were put clearly on affidavit beforehand, he said.