Just over 30 employees of the oil exploration company, Petroceltic, including its chief executive, Briain O’ Cathain, have voted against examinership proposals to rescue the firm in a landmark move that could have an impact on other examinerships.
Publicly-quoted Petroceltic has been at the centre of a long-running ownership struggle with its largest shareholder, the Swiss-based but Russian-controlled investment fund, Worldview Capital, which is set to take control of the firm through the examinership process.
At issue for many of the staff is a pot of about €4m which can be triggered by a change of control at the firm and which would be almost wiped out under the examinership proposals.
Staff, represented by lawyers William Fry, claim this is a future, rather than a past liability for the company and that it therefore cannot be reduced under examinership legislation.
The issue has never been tested since that legislation was introduced in 1990.