Danny Lafferty’s supermarket in Creeslough this afternoon
Breaking News: Danny Lafferty’s battle to save his pub and supermarket business has ended in bitter defeat following today’s decision in the high court.
The news comes as an absolute hammer blow to the rural village of Creeslough which will now result in 29 people losing their jobs.
Mr.Lafferty was given 100 days to save his business and a “Save our Village” campaign was launched.
Mr Lafferty received huge support from locals and had indicated a rise in trade over the last couple of months.
However, he was unable to find an investor and as a result both businesses have been wound up by the high court.
There is a small chink of light for this devastated rural village after it was suggested that a petrol station and local convenience shop associated with the Lafferty family could well be saved following today’s hearing.
After negotiations in the high court it has been decided that the Vivo/Shell petrol station and the small shop beside it that employs up to ten people will be saved and can continue to trade.
29 people will now lose their jobs as a result of today’s decision and the news will not only come as a huge blow to locals in Creeslough, the decision will also serve as a stark warning to other businesses in rural villages across the county.
Mr Justice Peter Kelly had appointed Seamus Farren as the liquidator to Lafferty’s Creeslough Ltd.
However, he had only appointed Mr.Farren on a provisional basis until June 11 due to concerns over what he described as substandard documents given to the court by Mr Farren.
Mr Justice Kelly had contemplated appointing another liquidator to the petrol station Vivo/Shell Ltd, regardless of the fact that an investor had been found for the business, the majority of the creditors had approved the rescue plan.
His reason in doing so was solely down to the fact there was 10 jobs at stake and admitted it was likely to be contested when it comes before the court for further consideration later next month.
The reason put forward for this was due to the fact that the examiner’s report was “riddled with inaccuracies” and that Justice Kelly would require a new and amended report for the court at the net hearing.
Garret Byrne BL, apologised for the inaccuracies in the reports on both companies and said they had not been intentional.
However, the inaccuracies in the Vivo/Shell company had been pointed out to creditors before they had to vote on the proposes survival schemes that were put forward.
Mr Byrne admitted in court there had been a “degree of intermingling” both businesses but the examiner had separated both now and as a result a plan had proposed and prepared for the survival of the Vivo station.
The company’s bank, AIB and the Revenue Commissioners, had backed the survival plan, they said,
The examiner was appointed 100 days ago to the two companies to come up with a survival scheme.
The judge was told today that negotiations to find an investor for the pub/supermarket had broken down on Thursday, it also heard how the supermarket will continue to remain open until at least June 11 to allow it sell off stock.