Dolphin Executives Obtained € 1.8 Million In Loan Pre-Liquidation
An Irishman who was a key figure in a now collapsed German real estate investment program received a € 1.8million administrator loan from Dolphin International Group (Dolphin IG) before taking a new position in the global investment arm of a Dubai-based company. Wall Street broker.
arc Reilly, now CEO of Europe and Asia at J Streicher Global, was one of the two Irish directors of Cork-based Dolphin IG.
He and his fellow director and shareholder Cormac Smith each secured € 1.8million loans from the company in the months leading up to its voluntary liquidation in October 2019, according to company documents seen by the Sunday Independent. .
It is not known whether the two loans were repaid by the men, and neither could be reached for comment.
The third director and shareholder of Dolphin IG was Charles Smethurst, who created the Dolphin Capital real estate investment program in 2008.
It has raised more than a billion euros from Irish, British and Asian investors who bought loan tickets under the program over a decade. Before its collapse last year, more than 1,800 Irish investors, mostly small, had invested a total of 107 million euros in Dolphin through a network of 144 Irish investment brokers.
Reilly’s name is said to have appeared in statements sent by Smethurst’s lawyers to the German prosecutor in December.
An invoice obtained by the Sunday Independent for an investment from Dolphin showed that Cork-based Dolphin IG was charging Hanover-based Dolphin Capital € 65,000 as “agent commission” on a single investment of € 130,000.
Investors were told that the money they loaned to the company would be used to acquire listed historic sites in Germany which would be refurbished and sold as residential units.
Many investors lost their pension funds or other substantial lump sums that they had invested in the plan.