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INDEPENDENT TD STEPHEN Donnelly is to introduce a bill aimed at cutting the cost of companies going into examinership by as much as half.
The Wicklow deputy’s Companies Amendment Bill 2014 will be introduced in the Dáil as part of private members’ time later today.
The proposed legislation aims to reduce the cost of the current examinership process by tens of thousands of euro by cutting out legal fees and fees incurred by an examiner in preparing for court proceedings.
The bill would facilitate business owners and their creditors meeting outside of the courts to try and agree a strategy to save a company rather than putting it into receivership – an option of last resort that usually results in a firm being wound-up.
Donnelly points out that the difficulties in going through examinership means that between 2011 and 2013 there were 64 examinerships, whereas during the same period there were 1,046 receiverships.
The bill is aimed at small business with fewer than 50 employees and a turnover of less than €10 million
Donnelly also insists that the bill will not unfairly prejudice creditors as they would be prevented from receiving less in the examinership process than they would if the company was put into receivership.
Donnelly cites Central Bank figures in claiming that half of all loans to small and medium sized businesses in Ireland are in distress.
With small businesses accounting for 70 per cent of the jobs in the State he claims his bill is likely to result in thousands of jobs being saved and tens of thousands being created as businesses “begin to thrive again”.
The government is likely to make its position on the legislation clear prior to the debate later today.
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That TD, is one of the smartest boys in the class, they should listen to him, well done.
Well not sure about smartest (it’s easy there) but this is a good idea. It won’t stop the banks foreclosing on businesses as they just want quick buck and care nothing for the workers or management of these companies.
the system is so bad with legal bullies that this honorable mans bill will get killed off to keep the gang cartel as is
Good idea.
Currently the system is too adversarial & too much money hoovered up by lawyers.
The government don’t like Donnelly though….. So the bill will probably be crushed.
(Something to do with Donnelly being better than the entire cabinet combined).
Great idea,
“The government is likely to make its position on the legislation clear prior to the debate later today.”
In other words the government will vote it down and reintroduce it at a later date branding it their own idea.
Sounds like a sensible suggestion. Means that the government will vote it down. Cannot have an upstart of an independent having a good idea…..
Imagine if we had 166 TDs with this level of intelligence !
Yes, tear down some of the red tape, though seeing as he is an independent and actually wants something other than power, it will most likely never happen
I think the bill is a step in the right direction. Also why not have a special court where examiners ….ie accountants could appear without legal representation…where small examinerships are in involved.
We have here a politician that befuddles the Government every time he ask a question of Government and all they can do to defend themselves is ridicule him.
Your choice in May is to vote for those who ask the questions or vote for those who refuse to answer the questions? Remember you are paying these peoples wages, do you want accountability or not?
Cant wait to hear the jeering and name-calling that will be given in response to this by the failed school-teachers. Not too long since Donnelly was accused of joining Fianna Fail in response to a straight forward question.
They fear him so they abuse him.
I c.annot see him getting a clear run.
Of course he won’t…that’s the system.
Good man Stephen, one of the brightest people in the Dail,even the Troika has long warned the way the legal profession does its business badly needs to be overhauled in this country, the old restricted ways are just not good enough for the modern world,and they add to the cost of doing everything,if his idea can make it easier for companies in this country to cut costs and surmount their problems,it could well have a very possitive effect for employment.
Richard
When you have people like Enda, Ming, & Phil in the Dail it’s not very hard to be one of the brightest.
That’s the end of that then, if Donnelly wants something to go through he should just hand the paperwork over to super duper Brian Hayes, Brian is in limerick toady saving peoples lives on his own, tit, down in limerick talking crap and has not even got an office in his own constituency. Fooled us big time, see you in May
I c.annot see him getting a clear ru
Not a chance of passing.
How will the lawyer & accountant brothers, sisters, cousins of politicians be able to afford to send their offspring Hubert & Stephanie too boarding school & skiing & summers hols on the yacht in the Caribbean?
Indeed, legal reform has almost slowed to nothing.
To many M’learned friends in the labour party.
“Donnelly cites Central Bank figures in claiming that half of all loans to small and medium sized businesses in Ireland are in distress”
That’s one of the more worrying stats I’ve seen in quite some time.
Donnelly’s idea makes sense.
I dreamt about him last night what does this mean? #scary
Does anyone know what happened this bill yesterday in the Dail? Voted down or supported? (realistically probably voted down in a hissy fit)
have your say