Some vulture funds are stepping up their efforts to recoup monies owed to them by farmers by appointing receivers to farms and properties. EY, formerly known as Ernst and Young, is acting on behalf of at least one vulture fund which is trying to recoup debt. EY’s company tagline is “building a better working world”.
Some vulture funds are stepping up their efforts to recoup monies owed to them by farmers by appointing receivers to farms and properties.
EY, formerly known as Ernst and Young, is acting on behalf of at least one vulture fund which is trying to recoup debt. EY’s company tagline is “building a better working world”.
In some cases, the farm debt is €100,000 or less.
The legacy debt relates to accounts from Ulster Bank.
In 2016, the Irish Farmers Journal exclusively revealed that Ulster Bank was planning on selling a raft of loans to a US vulture fund called Cereberus.
In total, Ulster Bank sold €125m worth of farmers’ loans to Cereberus, which represented 5% of Ulster’s total loan book. The bank said these loans were part of its “non-performing” portfolio.
Debt collection
Cerberus used a debt collection service called Capita Asset Service.
Capita is now known as Link Asset Services after the Link Group acquired the Capita business in late 2017.
The Irish Farmers Journal has spoken to the representatives of farmers affected, who
confirmed that receivers visited farms unannounced in recent months, informing them that they had been appointed.
When farmers and their representatives attempted to contact Link Asset Services to seek further information or attempt to agree a deal, they were told that no information would be forthcoming and that they would have to deal with the receiver.
They were told that any costs incurred from a potential liquidation process would be passed on to the farmer.
The Irish Farmers Journal has seen a copy of a letter sent by EY to one farmer which states “please be advised that I have been appointed as agent for the bank to take possession of the property for the purposes of a subsequent sale by the bank”.
The letter said that it is not seeking “the family home”.
This is leading those farmers affected to believe that Link has little interest in doing deals with farmers, preferring to seek the full outstanding debt or take control of the farm.
Read more
Vulture funds ramp up repossession threats
'Nothing less than the full amount' – vulture fund demands payment
This is a subscriber-only article
SHARING OPTIONS: