In 2016, the firm agreed to sell the portfolio to an unconnected purchaser which is a company incorporated and tax resident here.
Ultimately, the firm agreed to pay €1.092m to Revenue on a ‘without prejudice’ basis in order that the sale of the portfolio could be completed. An expert witness for the firm told the TAC that the company purchased distressed loans with a view to disposing of them but also that part of the intention of acquiring them was to generate cash flow during the hold period from payments being made by the borrowers.
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