A BALLYSHANNON couple previously ordered repay around €300,000 to a ‘naive friend’ by the High Court have declared bankruptcy.
The Sunday Times reports that John and Jacquline Keenaghan, of Rathmore, Ballyshannon, were made bankrupt by the High Court on March 2 last.
The couple stated that they were unable to meet their debts, which included a sum of €297,439 to Della Kerrigan, also from Ballyshannon.
Last year, the High Court ruled that money given by Kerrigan to the Keenaghans was a loan – and not a gift.
Kerrigan loaned €250,000 to the Keenaghans in 2010 after their architectural business went bust.
Kerrigan had received a €750,000 sum in compensation following a road traffic accident. Kerrigan sustained serious injuries in the crash, in which her father died.
Kerrigan sought repayment in 2014, but the Keenaghans claimed that the money received had been an ‘out of the blue’ gift.
Judge Deirdre Murphy said the Keenaghans carried out ‘an enormous breach of trust’ and ordered the money be repaid in full along with 8 per cent interest.