Dáil Éireann Debate, Tuesday - 8 November 2022
250. Deputy David Cullinane asked the Minister for Finance his views on a matter raised in correspondence (details supplied) regarding apartments held by NAMA in need of remediation; if he will seek an explanation from NAMA; and if he will make a statement on the matter. [54258/22]
View answerThe Deputy will be aware that NAMA was established as an independent commercial body and I, as Minister for Finance, do not have a role in its operations or decisions. I am advised that the development at Carrickmines Green is not owned or controlled by NAMA. The development is a private residential development consisting of a number of apartment blocks and houses. Each apartment owner owns their own individual unit and the various residential units are owner occupied or rented. I am advised that NAMA owns certain loans which are secured by a small number of individual apartments in the development. These units are under the control of a receiver (McStay Luby) who acts as agent of the original developer and is responsible for the management and maintenance of the properties over which they are appointed.
Neither NAMA nor I, as Minister, can direct a receiver to act counter to their statutory and fiduciary obligations. Additionally, by virtue of section 10 of the NAMA Act, NAMA is required to obtain the best achievable financial return from its acquired assets. Any strategies employed in relation to the assets were therefore guided by these legal and statutory obligations. Directing NAMA or the receiver to act counter to these obligations is not one open to me in the current circumstances. However, I am advised that the receiver, in his capacity as agent of the developer and without any legal obligation or requirement to do so, has carried out very substantial remediation works to the development, funded by NAMA, certification of which has been provided to the local authority.
It should be noted that there is extant litigation between the receiver and the Owners Management Company (“OMC”) in relation to the development at Carrickmines Green, which I am advised is expected to be back in court imminently. NAMA is not a party to the litigation and it is not appropriate for NAMA nor I, as Minister, to interfere with an ongoing legal case. Furthermore, given the on-going litigation, NAMA is not in a position to substantively engage in certain issues, which it is understood are the subject of disputed claims in the ongoing pending litigation.
