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Family dispute over firm that owns hotels in Galway and Dublin goes to court

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Family dispute over firm that owns hotels in Galway and Dublin goes to court

Galway Bay fm newsroom - A dispute involving family members over the running of a company that owns well-known hotels in Dublin and Galway has been admitted to the fast-track Commercial Court list.

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The action has been brought by Mary Flannery of College Road, Galway, who claims her two brothers, her sister-in-law and an accountant have acted in an oppressive manner, infringe her rights, concerning the running of a successful company called Foxfield Inns Designated Activity Company.

She claimed she had been denied answers to her questions about the firm's affairs from her fellow shareholders and directors, as well as its auditor and accountant, which is oppressive to her interests in the company.

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The claims are denied.

As well as the Ashling Hotel in Dublin and the Imperial Hotel in Galway, Foxfield has acquired commercial and residential properties which are rented out.

One of the firm's subsidiaries owns and runs the Eglington Hotel in Salthill, which is used as a direct provision centre.

Mary Flannery of College Road, Galway, has sued Frank Flannery with an address of Ladyswell Park, Glasson, Athlone, Co Westmeath, Kevin and his wife Sheelagh Flannery of The Green, College Road, Galway.

Mary Flannery has also sued James Norton, the company's auditor and accountant, and Foxfield Inns DAC both of Carysfort Avenue, Blackrock, Dublin.

In a sworn statement she said Mr Norton, who was appointed the personal representative of her late brother Colin Flannery, has "great power" over the other defendants who allegedly act on Mr Norton's behest.

She claims that Mr Norton is acting as a "shadow director" of the company, and "exercises a far greater influence and control over its affairs" than he should. He denies all allegations of wrong doing made against him.

Mary Flannery, who is also the company's secretary, has also raised questions about the company's banking arrangements and what she believes are unusual lodgements and withdrawals from the company's bank accounts.

She is also concerned about rents the company received from commercial units in Galway, which she said were not bought by Foxfield, but rather by an entity called AutoExec whose directors are Kevin and Sheelagh Flannery.

Mary Flannery added that she has been effectively side-lined from all important decisions regarding the company and has been blocked from inspecting the company's books and records.

She says the defendants' alleged actions amount to acts of oppression against her as a shareholder.

Another sister Ms Andrena Moynihan, a sister of Mary, also a shareholder and director of the company, is seeking to be added as a party to the action, although the court heard that there are no complaints against her.

Adjourning the case to January the judge said that Andrena Moynihan's application to become a party to the action will be considered at a later date.

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