Sligo Corporation has won its High Court action to have two directors of a construction company held personally liable for the cost of completing works on a 94-house estate built by the company at Cartron Bay, Sligo, nearly 20 years ago.
Mr Justice O Caoimh said yesterday he was disposed to make an order for the sequestration of assets of the two directors, but would discharge any such order if they paid £120,000, plus interest for 10 years, to Sligo Corporation to carry out works on the estate.
Saying he would defer making a final order, the judge said if the directors sought to complete the works through any other corporate entity, he would direct that these works be supervised by an engineer or architect appointed by the corporation.
Sligo Corporation had taken its proceedings against Cartron Bay Construction Ltd and its two directors, Thomas and Pauline Maguire, of Moneygold, Cliffoney, Co Sligo.
In May 1988 the High Court ordered the company to complete by September 1988 works on the housing estate, in accordance with planning permission granted in 1974 and 1976.
The court heard that a survey of underground pipes in the estate in 1996 revealed a "host of deficiencies" in regard to sewer pipes, defective manholes and connections and a wrong bore of pipes. These resulted in defective paths, roads with potholes and severe flooding.
The residents sought to have the corporation address their difficulties while at the same time the corporation sought redress against the Maguires.
In his reserved judgment, Mr Justice O Caoimh said if the company was in wilful default, this was through the actions of the Maguires as the company's affairs were linked inextricably to the Maguires' actions. Insofar as a company could have a will, this must be the will of those in control of it.
Allowing costs to the corporation, Mr Justice O Caoimh said he believed it would be necessary to hear further evidence on the cost of the outstanding works as of 1988 costs. He would make no final order on the claim until he had heard counsel later. He adjourned the case for mention to June 25th.