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Director of Management Company stalling sales

  • 21-04-2022 10:59pm
    Registered Users Posts: 28 April 2022


    We are currently selling our investment property. The director of the management company has set out to make our sale difficult. He is currently doing the same to another seller in the complex.

    He has always been a difficult person to deal with. If there any repairs needed in the complex that should be covered, he tries to bill random owners for the costs. He just sends the demand for money along with the annual fee invoice. If you dispute the bill, you get a nasty letter and another amended higher bill.

    He has made our lives torturous over the past three years and we’ve had enough and want out of the place.

    Our solicitor is looking for information that was on the MUD documents and he won’t respond.

    Our financial well-being and that if our family is dependent on this sale. Our income has reduced considerably since Covid and we are finding things hard, especially with two children to support.

    This person does not respond to any solicitor letters or emails.

    He has tried extorting money from us and said he will tell the purchaser that we have outstanding debts, which we do not. We have sent our financial statements with all payments to both the company accountant and our solicitor, but this person ignores this and demands money.

    We are at our wits end at this stage.

    Has anyone ever dealt with any similar issue? Probably not, as no one can believe us when we tell them even a fraction of what has been happening to us over the past three years.

    Thanks in advance



  • Registered Users Posts: 3,445 ✭✭✭ brainboru1104

    I'd advise you to talk to a solicitor, but you already have one?

  • Registered Users Posts: 28 April 2022


    Thanks for your reply. Yes, we have a solicitor who has written to him numerous times, but he generally ignores any letters or emails.

    He makes up his own rules. He has complete control of the OMC and even takes a salary for himself for doing some cleaning and gardening. He also carries out property services and appears to have no licence to do this.

    He terrorised numerous sets of tenants, resulting in them having enough and leaving.

    The place cannot be sold as it stands due to the actions of this person.

  • Registered Users Posts: 24,513 ✭✭✭✭ Mrs OBumble

    Work with the other owners to have him removed?

  • Registered Users Posts: 28 April 2022


    We’ve tried that too. There are some older owners who think he’s fantastic and won’t have a bad word said against him.

    Like I said, he has taken total control of every aspect of the management company. It is unbelievable that this has been allowed to happen, but it seems nothing can be done.

    There are only 50 apartments in the complex, but he’s there in a regular basis with his hoover and lawnmower!

  • Registered Users Posts: 615 ✭✭✭ eusap

    Look up a solicitor who is experienced with dealing with management companies, there are options to Call an EGM and vote for a new board, assuming it is a registered company you can make a complaint to the director of corporate enforcement as he is not keeping up his responsibility as a director. But best leave it to a legal person.

    Have you tried contacting him personally and ask the question why he is holding up the sale of the house, or as a third person to do it e.g. estate agent. You would wonder is he doing it on purpose to devalue the property to buy it himself

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  • Registered Users Posts: 28 April 2022

  • Registered Users Posts: 5,758 ✭✭✭ Claw Hammer

    He is more likely to be looking for a backhander.

  • Registered Users Posts: 351 ✭✭ Doolittle51

    It's easy to ignore letters and emails. If he's around as often as you say, just be a nuisance. Every time you see him, ask him when he's going to send you the documents you need. If it seems like you're annoying, then that's a good sign. Keep doing it and he'll soon realise it's easier to comply.

  • Registered Users Posts: 28 April 2022

  • Registered Users Posts: 28 April 2022

    Thanks so much for all your comments and suggestions. This person is one of a kind, nobody seems to have come across the likes of him before. We can’t wait to see the back of the place, it literally is an asylum!

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  • Registered Users Posts: 9,280 ✭✭✭ antoinolachtnai

    I am sorry to hear of your troubles. Unfortunately you may well need a different solicitor. This management company and this guy has no right to interfere with your sale. It is going to take an aggressive stance on your solicitor’s part to get him to back down.

  • Registered Users Posts: 270 ✭✭ JayPS 2288

    Do this, OP.

  • Registered Users Posts: 28 April 2022

    I’m a bit slow 🤣What does this mean? 😊

  • Registered Users Posts: 270 ✭✭ JayPS 2288

    put His demand letters straight in the bin 😊😊

  • Registered Users Posts: 717 ✭✭✭ macvin

    ODCE complaint is really the only course of action.

    Give him notice that you will be making an official complaint that he his frustrating the rights of members and this is a valid complaint under company legislation to initiate investigation by ODCE.

    Let him know that details of the complaint to the ODCE will be circulated to all other owners and you will be requesting an EGM to remove him from the board of directors.

    Only aggressive communication like this, ideally from a solicitor, will get action

  • Registered Users Posts: 12,050 ✭✭✭✭ Dav010

  • Registered Users Posts: 28 April 2022

    Ah, ok! Yes, we do this now or rather ignore them. At first, we used to get so upset about them, but not anymore. 😊😊

  • Registered Users Posts: 28 April 2022

    He is currently being reported by another owner for giving false information to the CRO

  • Registered Users Posts: 794 ✭✭✭ JPup

    ODCE will do nothing in a situation like this. It would need to be some very serious fraud or theft for either ODCE or gardai to get involved.

    Does this individual live on site as a matter of interest?

    I think the only way you are going to get any joy here realistically is to become a director of the management company yourself.

  • Registered Users Posts: 28 April 2022

    No, he did own a property, but sold this year. It isn’t possible to become a director, as he collects proxies before the AGM. It’s closed shop, he controls everything.

    It’s so hard to imagine what this place is like if you’re not dealing with this person yourself.

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  • Registered Users Posts: 12,050 ✭✭✭✭ Dav010

    There seems to still be some confusion over the distinction between Management Company and Managing Agent.

    Op, the Company is made up of unit owners, you are a member by virtue of owning a unit in a multi unit development, this man, if he sold his property/no longer owns one, he is no longer a member of the management company and should have resigned from the Board. If he is the Managing Agent, he is employed by the Company. He/she is usually a local EA/property management company and can be replaced at the AGM.

    I’m afraid this thread is pretty typical of the queries/complaints we received when I was on the Board of a OMC. Owners who didn’t attend AGMs, don’t know what was discussed and what was voted on.

    Op, the next AGM, go, stand up and say you are not happy with the Board, managing agent, costs etc. You may find there are like minded owners who will support you, and volunteer to be on the Board.

  • Registered Users Posts: 9,429 ✭✭✭ Caranica

    He can't be a director if he no longer owns a property in the development. He should have resigned once the property was sold as he's no longer a member of the management company. This is one for the ODCE, he needs to be removed ASAP

    Post edited by Caranica on

  • Registered Users Posts: 470 ✭✭ TheWonderLlama

    Have been through the same thing and now I am a director of the OMc.

    The EGM route is the only way to effectively get rid of the director. But you need to be sure of having a majority behind you. Very difficult to engineer. But do get an EGM called to record these grievances and call the vote. Look at the articles of association for the company as to how votes are counted. If he is not a property owner and he cannot vote, he also cannot vote any proxies he has as he ahs no right to attend the meeting. (I could be wrong in this, not a lawyer).

    Also, write to the Property Services Regulatory authority.

    Check their register first, to ensure the director is not already registered and if not, report him for offering management services without a licence.

    It is illegal to provide a property service without a licence and PSPs found to be trading without one are subject to sanction, a fine and/or possible imprisonment. If you think a PSP is providing a property service without a licence you should report this to the PRSA at [email protected].

    That should give him pause for thought.

  • Registered Users Posts: 828 ✭✭✭ Heart Break Kid

    You can have him removed, people forget he works for you.

  • Registered Users Posts: 28 April 2022

    Thank you so much, everyone. We’re hoping our sale goes through and then he will be reported to every body that we might have a case with. That’s for sure. I pity the owners and tenants left there

  • Registered Users Posts: 28 April 2022

    Hi everyone,

    Further developments in this nightmare!

    This director is charging us €3,500 for charges we do not owe. Our solicitor has tried to get these costs removed, to no avail. The buyers solicitor is appalled at how we are being treated but their hands are tied as they need a balancing statement of zero funds owed.

    This director refuses to give us a breakdown of the costs. He has ignored the solicitors request as has the accountant.

    Has anyone any idea what we can do. How can we be held to ransom by this thief? He already extorted €3000 from another lady who owed nothing in May. She is bringing him to court.

    Can anyone help? We are desperate at this stage to sell financially.

    Thanks so much.

  • Registered Users Posts: 32,140 ✭✭✭✭ is_that_so

    I think you need to meet him head on at this point and begin to push back. Is there scope in the Articles of Association to call an EGM and then have him removed that way?

    If your solicitor is not familiar with how these entities are set up you might ask if they can recommend someone who is or to identify the original solicitors who set it all up. You might also be able to take a run at the accountant as some of the personalised expenditure they have sanctioned seems pretty dubious.

    I'd also consider the court route starting with a solicitor's letter in the matter. Ask your solicitor about possible moves here.

    Finally, I would suggest you contact the ODCE about his behaviour as a director. Even if they can't or won't do anything they may be able to point you in a suitable direction.

  • Registered Users Posts: 28 April 2022

    Thanks so much for your reply.

    He was forced to hold an EGM in May about another case being taken against him! The insurance company insisted on it.

    Our solicitor has said to him that we will be pursuing him for all damages. We spoke to the accountant (could be this guys twin) today and it turned into a heated discussion. Basically, he said it’s all nothing to do with him even though he signs off on all accounts.

    He is saying we owe €1500 legal fees, €450 audit fees, €400 admin fees amongst others. This is all untrue. We have always paid our management fees in full and more recently gave this person €4,800 for new windows.

    The other owner who was charged €3000 fraudulently is going to court. Her solicitor has requested back up information for this alleged amount, but this director has blocked them on the company email and is ignoring solicitor letters.

    We have exchanged contracts and are basically waiting for our funds. The purchaser is a government body.

    This person listens to know one. He sends you a solicitor’s letter, but then drops the solicitor and charged you for the fee.

    There has to be somewhere we can turn. The way things are he could ask for €10,000 and we would have to pay to close the deal. This can’t be right.

  • Registered Users Posts: 9,429 ✭✭✭ Caranica

    Again, legally he cannot be a director if he's not an owner. Sort that out first, problem solved.

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  • Registered Users Posts: 32,140 ✭✭✭✭ is_that_so

    We spoke to the accountant (could be this guys twin) today and it turned into a heated discussion. Basically, he said it’s all nothing to do with him even though he signs off on all accounts.

    Accountants can't really sign off on what may not be legal behaviour on the part of a company or an individual within a company. You can also report them for such actions or threaten to report them.