Irish bank challenges Sean Quinn over move to Northern Ireland

Anglo Irish Bank, now the Irish Bank Resolution Corporation (IBRC) says it is owed €2.8bn by property tycoon Sean Quinn. Photograph Peter Muhly/AFP/Getty Images

Ireland's one time richest man Sean Quinn has moved most of his business across the border into Northern Ireland, a court heard on Monday.

A financial institution synonymous with the collapse of the Republic's economy – the former Anglo Irish Bank – started a high court challenge in Belfast to stop Quinn from declaring himself bankrupt in Northern Ireland.

The now state owned and renamed Irish Bank Resolution Corporation is seeking to annul Quinn's bankruptcy. It claims the former billionaire's bankruptcy within the UK is invalid as most of his assets and interests are still in the Republic. Under Irish law a bankrupt cannot trade for 12 years while in Britain and Northern Ireland they can go back into business after only 12 months.

The Irish Bank Resolution Corporation (IBRC), which says it is owed €2.8bn (£2.4bn) by Quinn, has challenged his decision to file for bankruptcy in Northern Ireland.

Gabriel Moss QC for the bank said that Quinn's "alleged new office" in Northern Ireland is not a place of business, claiming that the property tycoon's home in Ballyconell, County Cavan is still his centre of main interests.

Moss said that under European law, the centre of main interests must also be "ascertainable" to third parties and that Mr Quinn's Derrylin premises do not meet that test.

The bank's lawyer said Quinn used the Derrylin office as a place to manage his litigation with the bank and in that respect it could not be considered a place of business.

He also said that Quinn was within his rights not to tell the bank about his new office, but his failure to do so "may place him in difficulties" when it comes to his claim that it is his centre of main interests.

Quinn, 63, was granted a voluntary adjudication in Belfast over the alleged debt in November. It is believed to be one of the biggest bankruptcy orders of its kind ever made in the United Kingdom or Ireland.

As a result he was stripped of control of his manufacturing and insurance business empire in April.

Quinn was reputedly worth €4.72bn at the height of his success.

He said he brought the application north of the border because he was born, reared and worked all his life in County Fermanagh.