Sponsored by: Investment Center

Something new in your business?  Click here to submit your business press release

Chamber Corner | Main Street News | Job Hunt | Classifieds | Calendar | Illinois Lottery 

Former Anglo Irish Bank granted U.S. creditor protection

[December 19, 2013]  DUBLIN (Reuters) — The liquidation vehicle for Ireland's failed Anglo Irish Bank has been granted bankruptcy protection in the United States, it said on Wednesday.

The bank, whose failure cost Irish taxpayers some 30 billion euros ($41 billion) in the financial crisis, was put into an accelerated liquidation process during an emergency session of Ireland's parliament in February.

Now known as Irish Bank Resolution Corp, or IRBC, the liquidating bank applied in August for U.S. court protection to prevent creditors from going after more than $1 billion in U.S. assets.

Liquidator Kieran Wallace of KPMG confirmed that IBRC was granted protection under Chapter 15 of the U.S. bankruptcy code in the district of Delaware.

"We got recognition," he said, declining further comment.

The court did not immediately release a written opinion.

The recognition was opposed by property developer John Flynn, an Irish resident of Florida.

The decision will freeze Flynn's lawsuit in Manhattan, where he is suing to recover $11 million he claims he was overcharged by Anglo Irish.

($1=0.7283 euros)

(Reporting by Laura Noonan and Tom Hals; writing by Conor Humphries; editing by Greg Mahlich)

[© 2013 Thomson Reuters. All rights reserved.]

Copyright 2013 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.