Receivers have been appointed to Shane Filan’s property company, Shafin Developments Ltd, which he runs with his brother Finbarr.
The company has been taken into receivership with bank debts of €5.5m. Ulster Bank appointed Galway-based accountant Patrick Horkan to take control of the company last week.
He has taken over assets including four residential properties and a partly developed site at Dromahair, in Co Leitrim, as well as a share of a site in Carraroe, Co Sligo.
Shafin Development Ltd began a 90-unit housing estate in Dromahair a number of years ago. To date approximately 60 units have been completed.
Bank of Ireland is reportedly Shafin’s biggest creditor but Ulster Bank is also owed a substantial amount.
Shane moved his family to the UK prior to Christmas and is currently seeking protection from the British courts to secure a five-year repayment plan to placate the Bank of Ireland (BoI) and Ulster Bank (UB).