Courts / Louth / Report

Money transfer business fails to secure injunction against bank

Date
2018-11-23
Stage
Hearing Or Decision
Primary locality
Dundalk
County
Louth

Summary

In a High Court hearing on 23 November 2018, Mr Justice Senan Allen dismissed an injunction application by Blue Diamond Sports Ltd, trading as Dundalk Bureau de Change, and its related firm Blue Diamond Sports No 2 Ltd. The firms sought to prevent the Bank of Ireland (BOI) from terminating their banking arrangements, alleging that BOI's decision was discriminatory, disproportionate, unlawful and breached EU Payment Services Regulations. BOI had informed Blue Diamond in April that it intended to end the relationship shortly after the firm repaid a loan. BOI justified the termination on suspicions of money‑laundering activity, citing the 2010 Money Laundering and Terrorism Financing Act, which obliges banks to report suspicious transactions. The judge found the injunction application failed at the first hurdle, that the balance of convenience did not favour granting it, and that any closure could be fairly measured and compensated by damages.

Who, what, where, when and why

What: Report matter: Money transfer business fails to secure injunction against bank. Procedural stage: hearing_or_decision

When:

Why: Blue Diamond Sports Ltd, trading as Dundalk Bureau de Change, and a related firm – Blue Diamond Sports No 2 Ltd – claims BOI wants to end their banking arrangements and close their accounts because of alleged links between the companies and money laundering. CNI source report

Places mentioned

Court Venue
  • The High Court
  • High Court
Secondary Mention
Residence
  • Park Street
Address Area
  • Linenhall Street

Topics

Fraud Stage Hearing Or Decision

Related court reports

Read the original CNI report

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