US court to decide on recognising O’Reilly bankruptcy
A US court has asked for legal submissions before deciding whether to recognise the Bahamas bankruptcy of former media mogul Anthony O’Reilly.
The former billionaire wants the bankruptcy recognised in the US to block his former personal nurse, Sabina Vidunas, from restarting a civil action against him. Ms Vidunas alleges he reneged on a promise to give her tens of millions of dollars worth of shares in HJ Heinz company and Providence Resources. She is opposing recognition of the Bahamas case in US courts on grounds Mr O’Reilly lives in France, among other things.
A judge in Pittsburgh yesterday gave attorneys time to file additional briefs in the matter.
Ms Vidunas has alleged Mr O’Reilly’s place of residence was not the Bahamas, citing the fact he lived in France. His address has been given as a chateau in Normandy.
However, in a court filing, lawyers for bankruptcy trustee Alastair Beveridge argued the Bahamas was Mr O’Reilly’s centre of main interest at the time he filed for bankruptcy in 2015. The lawyers said his principal place of residence had been the Bahamas when the bankruptcy proceedings were initiated, but he was forced to move to France when his real estate was liquidated. They said the chateau was owned by Mr O’Reilly’s wife and he had no right, title or interest in it.
A statement of affairs dated March 31, 2016, exhibited in the court filing, showed Mr O’Reilly had debts of around €170m at the time, but just €4.6m in unencumbered assets. His debts included €46.8m owed to ACC Loan Management Ltd, €45.6m owed to Lloyds Bank International Ltd and €44.4m owed to LSF VIII Pine Investments Ltd.
Other debts included a sum of €15.5m owed to AIB, $8m owed to EFG Bank & Trust Ltd, $6.3m owed to BNY Mellon National Association, €2.1m owed to Bank of Ireland and €1.18m owed to Ulster Bank.
It listed an individual retirement account worth $756,955 which was believed to be protected against claims from creditors. It also listed pensions worth around €75,000 which it said may be protected against claims from creditors.