Lynch Hotels placed in Receivership

Some of the 500 jobs at Lynch Hotels may be at risk after receivers were appointed today to two of the seven hotels within the hotel Group.

The two hotels are The Clare Inn in Dromoland, Co Clare and Breaffy House Hotel in Co Mayo.

The group employs as total of 500 people at the chain of hotels which also includes the West County Hotel in Ennis and  The Ocean Cove in Kilkee in County Clare, The George Boutique Hotel  and  The South Court in Limerick. These other hotels in the group are not affected by the appointment of a receiver to the Clare Inn and Breaffy House Hotel.

It is understood that 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 banks to ensure that the jobs are protected and that the two affected hotels remain trading.

“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,” said Lynch .

“‘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.”