Judge gives Michael Flatley firm deadline to pay off €6.9m loan at centre of dispute

High Court reporters

A High Court judge has warned he will take “an extremely dim view” if the transaction to pay off the €6.9 million loan at the centre of the dispute over Michael Flatley’s Castlehyde mansion in Cork is not completed by Monday afternoon.

Mr Justice Mark Sanfey has given the Lord of the Dance star until 2pm on Monday to complete the matter.

The entertainer’s lawyer, Ronnie Hudson BL instructed by solicitor Maxwell Mooney, told the court there had been “substantial engagement” at the weekend, that “everything has been signed” and the money was going to be paid by 2pm.

He said if the court case was put back to 2pm, he would be in a position to confirm payment.

The Flatley side had been given until Monday to update the court after Mr Hudson told it last week the loan "was on the cusp of redemption.”

Last week, lawyers for the company Novellus Finance, which had a receiver appointed over Castlehyde over alleged loan default, submitted to the court that there had been “empty promises” and its refrain now was “show me the money.”

At issue in the case is the original €5.6 million loan made to Mr Flatley's Blackbird Film Productions Ltd by Novellus Finance Ltd, with registered offices at St Stephen’s Green, Dublin, in 2023, with repayments of €67,000 per month over two years. Novellus claimed there had been default on repayment, which Mr Flatley denies.

Mr Flatley provided a guarantee for the loan on the strength of the value of his Castlehyde mansion. As a result of the alleged default, Novellus appointed a receiver over the property.

The Flatley side had asked for Mr Justice Mark Sanfey to hold off on giving his judgement on whether an interlocutory injunction should be granted to prevent the receiver over Castlehyde from taking any further steps in relation to the mansion outside Fermoy.

The judge had heard the matter last week and was due to give judgement last Friday.

He gave the Flatley side until today Monday to update the court on the matter.

In court on Monday morning, Mr Hudson for Mr Flatley said the entertainer “wanted to express his gratitude for the indulgence afforded by the court on the matter.”

Kelley Smith SC, for Novellus, told the court a letter on Monday morning appeared to contradict what they were told earlier. She said they were being told certain things and “here we are again”.

Ms Smith said “this is all a waste of time” for the court and judge.

Mr Justice Sanfey said the word “exhausting” had been used by the Novellus side in relation to the matter and he said it was “an accurate word.”

However, he said a letter from a reputable firm of solicitors was saying that the money was going to be paid on Monday.

He said he could understand the scepticism of Novellus but he would put the matter back to 2pm. He said he would take “an extremely dim view” if the matter was not completed by 2pm.

Michael Flatley flew in to Dublin from Monaco on Friday with his close friend Prince Albert of Monaco on the royal’s private jet.

They both attended attending the Six Nations Championship game between Ireland and France at the Aviva stadium.