Quinn Insurance is losing up to €1.5 million a day over the ban on writing new business in the UK, workers claimed today.
Employees said a business plan to resume trading was submitted to Ireland’s Financial Regulator last Thursday but the restriction has not been lifted. The workers are planning a rally at the regulator’s office in Dublin on Friday claiming the ban is not sustainable for the company or the country.
“Northern Ireland/UK business represents over 50 per cent of Quinn Insurance’s book and we are losing between €1 million to €1.5 million per day as a result of not being able to trade in NI/UK,” a statement from the workers said.
“As Quinn Insurance is the only Irish insurer trading in this market this is lost export business and as such the Irish economy is losing millions in tax revenue.”
The rally coincides with the deadline for Seán Quinn to finalise his case for fighting administration, a move imposed by regulator Matthew Elderfield amid fears the company cannot cover an influx of claims.
The company, which should find out the watchdog’s thoughts on its in-house refinancing plans today, is facing a High Court showdown next Monday over administration.
Employees said a business plan was submitted to the regulator by the administrators last Thursday supporting lifting the ban after meetings between cross-border, cross-party politicians, the administrators and the financial regulator.
They claimed Mr Elderfield promised the issue would be a priority, but has returned to the administrator for further clarification.
“As a result of this we the employees feel we have no option but to hold a rally on Friday at noon outside the regulator’s office at the Central Bank in Dublin,” the statement added. “This is a plea rally on behalf of all employees but in particular the 1,500 employees in all Quinn Insurance offices who are directly impacted by the decision on NI/UK business.”
Experts at London firm Talbot Hughes McKillop (THM) have been asked by Quinn to help restructure the multinational as the family and Group faces total debts of about €4 billion.
The businessman was granted a week-long reprieve on Monday on attempts to place his flagship insurance company under permanent administration.
Mr Elderfield was given a last minute “lengthy affidavit” from Quinn Insurance just as a courtroom hearing between the pair was to about to start.
PA