Property firm Flash Developments faces court probe

This is an article from The Sunday Business Post relating to a court probe into Flash Developments and possible use of investors’ deposits to run the firm.

Sunday, June 27, 2010 - By Ian Kehoe

The High Court has ordered an investigation into property company Flash Developments, after evidence emerged that the company may have used deposits from buyers to finance the running of the firm.

It has also emerged in court documents that the company, which is headed by businessman Ciaran Maguire, may not have title over land in Cape Verde, where it had proposed to build a €100 million property scheme.

Flash has taken deposits from more than 200 prospective buyers, but has not signed any contracts in relation to a proposed development.

The company went into liquidation earlier this month, but Maguire insisted that all deposits were safe and the development would go ahead through another company called the Ciaran Maguire Group.

However, documents filed last week by the liquidator, KPMG accountant Kieran Wallace, said that Flash appeared ‘‘to have financed the general running of the company’’ from the deposits it received, rather than place them on secure deposit.

‘‘From our initial investigations, it does not appear that the company has title to land, nor have any contracts been signed by the company,” the liquidator added.

During a High Court hearing last week, Ms Justice Finlay Geoghegan drew attention to the two claims and said they should be investigated by Wallace.

The judge adjourned the matter for four weeks, to give the directors of Flash time to file a detailed statement of its assets and liabilities.

A number of people who paid deposits to Flash for apartments and villas have already sought the return of their money, while others are putting together an action group to try to recover their money, following a 16month delay in starting the project.

Maguire has insisted the project will go ahead through the new company.

He said last month that the first phase of the development was valued at €100 million and would include a five-star hotel.

Maguire said he had a 15-year licence with the Cape Verde government to build on the island, and that he would ultimately build developments valued at €1.8 billion.

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Flash Developments / Ciaran Maguire Group article in The Phoenix

The Phoenix Young Blood article on Ciaran Maguire of Flash Developments who is behind the Palm View Resort in Cape Verde where Dublin legal firm Anthony Joyce & Co are representing overseas investors.

The Phoenix have very kindly given us permission to add this interesting piece of coverage relating to the on going saga of Flash Developments. Please click on the image below to view the full article.

Flash in the pan or Flash aaaaah

Any investors who would like further details of Anthony Joyce’s legal work on this case or overseas property legal issues in general then please contact us.

Flash Developments Limited to be wound up.

Dublin legal firm Anthony Joyce & Co have just confirmed that Flash Developments Ltd, headed by Ciaran Maguire, the developers of the €1.8bn Palm View resort in Cape Verde, is to be wound up follow a High Court petition by Hayes Recruitment.

The petition was submitted to the Court in Dublin last week (17th May, 2010) and was approved by Justice Laffoy. This puts Flash Developments into liquidation and KPMG have been confirmed as the liquidators.

Anthony Joyce (tel: 01 4545000) is currently undertaking legal action relating to Flash Development on behalf of investors. Please contact us for further details.

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