The High Court has granted a financial lender permission to execute possession orders in respect of two properties owned by businessman and anti-eviction activist Jerry Beades.
The orders were sought by KBC Bank in respect of properties at Richmond Avenue, Fairview, Dublin 3, and Little Mary Street, Dublin 1.
KBC claimed Mr Beades borrowed approximately €1.3 million in 2003 from IIB Homeloans Ltd which were secured on the properties.
KBC claims some €2.1 million remains outstanding on the loans and it sought various orders, including for execution of the possession order in respect of the properties.
The lender secured possession orders in respect of the properties from the High Court in 2008. Those orders were appealed to the Supreme Court, which affirmed the High Court’s decision in 2014.
Mr Beades opposed the orders on grounds including the orders were granted in favour of IIB Homeloans, who advanced loans to the businessman, and could not be executed by its successor in title KBC Bank PLC.
Misuse
Mr Beades also disputed the application on grounds including that IIB was not entitled to sell the loans without his consent to KBC, that there had been a misuse of his personal data by IIB in providing information concerning the loans to KBC. He also argued there had been a delay, with no explanation, in executing the possession orders to the effect KBC had forfeited its right to execute the order.
Giving the court’s judgement Ms Justice Caroline Costello said she had no hesitation in ruling in favour of KBC and granted it permission to issue an order allowing it execute the possession orders in respect of the two properties.
She rejected all grounds of the businessman’s claims including that the possession order was not assignable from IIB to KBC.
In 2008 IIB Homeloans Ltd changed its name to KBC Mortgage Bank. In 2009 under the 1971 Central Bank Act the Minister for Finance approved a scheme of transfer between KBC Mortgage Bank and KBC Bank Ireland Plc.
The judge said Mr Beades’ argument cannot succeed in light of the wording of 2009 order when combined with the 1971 Act.
Substituted
As of the date of transfer, KBC was substituted as the plaintiff in the proceedings by operation of law and and became entitled to any benefits or payments due to the KBC Mortgage Bank formerly IIB, she said.
KBC Bank had been assigned the order for possession, the Judge said.
The judge also said consent from Mr Beades was not required to sell the loans, and IIB had been authorised by the businessman to disclose the information he claimed was wrongfully disclosed to KBC.
In regards to the delay argument, she said Mr Beades had come before the court in circumstances where no payment in respect of the loan for more than 10 years.
While no information was before the court about the value of the rent roll in respect of the properties there was no dispute that no rent had gone to KBC in part discharge of very considerable sums outstanding in the loan, the judge said.