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Tracey calls for protection of prospective homebuyers as developer goes into examinership

24 June, 2009

South Dublin Sinn Féin representative, Shaun Tracey, has called for 100% protection for prospective homebuyers who entrust large deposits with developers. Mr. Tracey made his comments after it emerged that people who put down deposits on apartments in Carrickmines were offered just 1% of their initial sum after the development company, Laragan Development, was placed in examinership.

Mr. Tracey said, “People had placed deposits of up to €20,000 on these apartments. This is a massive amount of money. People rightly expected this money to be secure and if their apartment didn’t materialise at least they would get their money back.

“It is a scandalous, sickening and completely unacceptable situation that they are now only being offered 1% of the initial deposit as a refund - €200 of €20,000. For many people this type of money is a once in a lifetime deposit on a home. It is not easily come by.

“It is clear once again that it is the ordinary person in the street that is being screwed by Government policies that created the housing bubble and the reckless actions of greedy developers and banks.

“The proposal to pay people only 1% of their deposit is outrageous and stands in stark contrast to the billions of euro being used to bail out the banks. It is time that we had 100% protection for deposits on homes. The Government and the financial institutions need to step in here and sort this mess out.” ENDS

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