LIMERICK solicitors Dermot G O’Donovan, three of whose partners are directors of the Fordmount Group, now in receivership, have been appointed by NAMA to provide legal services.
Fordmount is believed to owe in excess of €100m to Anglo Irish Bank.
One of the partners, Adrian Frawley, was appointed managing director of Fordmount following the departure of accountant Michael Daly, who is said to be the majority shareholder of the Fordmount Group.
Other shareholders in the Fordmount Group include the firm’s other partners Dermot G. O’Donovan, Michael Sherry and ex-partner Tommy Dalton, who has left the firm.
Speaking to this newspaper a local source claimed, “Michael Daly is the majority shareholder with a 50% holding and the four others hold 12.5% each”.
Fordmount Property Group have constructed €300 million worth of property in Limerick including the landmark Riverpoint Development, The Savoy Hotel and The Park Nursing Home in Castletroy.
Anglo Irish Bank who financed Fordmount’s projects, are believed to be their largest creditor.
The bank installed Billy O’Riordan of PriceWaterHouseCoopers as receiver to the Fordmount Group following analysis of their holdings by forensic accountants Cooney Carey. Speaking to the Limerick Post, the receiver said that he was unsure whether any of the group assets would be considered for NAMA.
He said: “I am in contact with the directors who have put together a statement of affairs with which we can carry out a financial analysis of the group”.
In 2005 Fordmount Property Group gave a political donation of €1,750 to Minister Willie O’Dea.
Another local firm of solicitors who have been appointed for the provision of legal services in connection with the acquisition of bank assets is Holmes O’Malley Sexton.
Minister of State Peter Power was once junior partner with Holmes O’Malley Sexton, and they also represent former Ceann Comhairle John O’Donoghue.
The other Limerick partnership appointed to provide legal services for NAMA are Sweeney McGann Solicitors, O’Connell Street.
