Charities owed millions after the collapse of controversial philanthropy platform Ammado may have to wait two more years to see any of a €370,000 pot held by liquidators, the Irish Independent has learned.
Court proceedings, which include Ammado founder Peter Conlon’s challenges to elements of the liquidation, are cited as the reason for the delay in a filing to the Companies Office.
Mr Conlon, a former EY Entrepreneur of the Year and serial tech entrepreneur, was convicted of embezzlement in Switzerland and jailed over Ammado’s missing millions but since his release has claimed a confession used in his criminal trial was given under duress.
A recent Companies Office filing for Pembroke Dynamics, part of the Ammado group, by its liquidator Myles Kirby of Kirby Healy, estimates two more years before the winding-up will be complete, pushing it out as late as March 2023.
The filing cites court proceedings as the reason for the delay. The liquidator and Mr Conlon have been locked in a long-running court dispute, including an effort to make Mr Conlon personally liable for Pembroke Dynamic’s debts and, on the flipside, the businessman’s effort to restrict the scope of the liquidation.
The next High Court hearing in the saga is due next month, on June 9.
The liquidator’s filing confirms Pembroke Dynamics has €370,500 in cash available to distribute.
It is understood Mr Kirby will ask the High Court to make a determination on how the funds should be used, with a view to making a disbursal to the charities burned by Ammado’s collapse, each of which was previously asked to provide details of how much money they lost out when the company collapsed.
In all, €3.8m of donations made via the Ammado platform had been mixed in company funds before the company failed, used mainly to support its day-to-day operations, the High Court has heard previously.
Even if all of the remaining money goes to the charities affected, including the Swiss Red Cross, the UN refugee agency (UNHCR) and Save the Children UK, they’ll get less than 10 cent in the euro of what they are owed.
However, Revenue is financing the liquidation and the ongoing legal actions, which means the cash pile is not running down, even if a distribution is subject to further delay.