Receivers appointed to two hotels in Lynch Hotel Group
An unknown number of jobs may be at risk after receivers were appointed to two hotels within the Lynch Hotel Group.
The two affected hotels are The Clare Inn in Dromoland, Co Clare and Breaffy House Hotel in Co Mayo.
The chain employs 500 people in total at seven hotels. It's list of properties also includes the West County Hotel in Ennis, The Ocean Cove in Kilkee; George Boutique, The South Court in Limerick and Breaffy Woods in Mayo. These hotels are not affected by the appointment of a receiver to the Clare Inn and Breaffy House Hotel.
It is believed the appointment of a receiver to the two hotels was prompted due to difficulties in securing working capital since the decision of Bank of Scotland Ireland to withdraw from the Irish market.
In a statement to Clare FM , managing director Michael B Lynch said that he will work with the receivers and the banks to ensure that the jobs are protected and that the affected hotels remain open.
"We had a duty to move to protect the 500 employees’ jobs in our seven properties and do right by their families in these harsh economic times," Lynch said.
"‘It is with great regret that we have had to make this decision but I am happy that in our discussions with the bank and receiver we have secured a position where the properties will remain open and continue to trade.
The Lynch Group successfully emerged from examinership in 2009.
