Paddy McKillen Jr Declared Insolvent with €27.7m Debts and Just €270 in His Bank Account
Paddy McKillen Jr, the former co-founder of the Press Up hospitality group, has been declared insolvent by the High Court with total liabilities of €27,710,644 against assets of just €143,295 — a financial collapse that has been laid bare in court documents revealing that the once-prominent businessman has €270.08 in a personal Revolut account and relies on his wife for €300 per week in personal expenses. The High Court granted McKillen Jr a 70-day protection certificate from his creditors on Thursday.
Background
Paddy McKillen Jr was, until relatively recently, one of the most prominent figures in Ireland's hospitality industry. As co-founder of the Press Up Entertainment Group, he built a portfolio of bars, restaurants, hotels, and entertainment venues that became central to Dublin's social scene, including the Workman's Club, the Dean Hotel, and a string of other high-profile establishments. Press Up was widely regarded as one of the most innovative and successful hospitality businesses in the country, and McKillen Jr was a regular presence in the business pages and on the social circuit.
The collapse of his personal financial position is a consequence of the catastrophic impact of the pandemic on the hospitality sector, compounded by the subsequent surge in inflation and interest rates that made the debt burden accumulated during the expansion years unsustainable. In September 2024, Press Up was taken over by London-based lender Cheyne Capital through a debt-for-equity swap, effectively ending McKillen Jr's involvement in the business he had built. The personal guarantees he had provided for company debts then became his personal liability, contributing to the €27.7 million total that he now owes to creditors.
McKillen Jr has attributed his financial distress to the impact of the pandemic, inflation, and rising interest rates, noting that personal guarantees provided for company debts had ultimately outweighed his assets. His situation is not unique — many entrepreneurs who built businesses on the back of cheap credit in the pre-pandemic era have found themselves in similar positions as the economic environment has changed dramatically.
Key Developments
The High Court granted McKillen Jr a 70-day protection certificate under personal insolvency legislation on Thursday, shielding him from creditors while a personal insolvency arrangement is developed. The application was made by barrister Keith Farry on behalf of personal insolvency practitioner Eugene McDarby. The court was told that McKillen Jr is "firmly insolvent," with his liquid funds consisting of €270.08 in a personal Revolut account, €193.79 in a cryptocurrency account, and an overdrawn balance of €345 in a Bank of Ireland account.
His remaining assets are primarily three vehicles — a 1986 Porsche 911 Carrera Targa, a 2021 Volkswagen Golf, and a 1983 BMW 6 Series — valued at approximately €105,000, along with stocks, shares, and five Richard Gormley paintings valued at €15,000. His residence in Foxrock is held on trust and, after accounting for mortgage balances and loans from his mother, holds no realisable net value for him. His former family home in Ranelagh was deemed valueless to him as he has no interest or claim in the property.
Significant personal debts include €2.9 million owed to his wife Edel McKillen and €1.8 million owed to his mother Maura McKillen. Major corporate liabilities include €8.9 million to Jonc Ltd, €8.7 million to Cabriz Finance Ltd, and €2.3 million to Herbert Street Property Finance. His wife reportedly provides him with €300 per week for personal expenses while covering all household costs.
Why It Matters
The McKillen Jr insolvency is a cautionary tale about the risks of rapid expansion funded by debt in a sector as volatile as hospitality. Press Up's growth was impressive by any measure, but it was built on a financial structure that left little margin for the kind of external shock that the pandemic represented. The personal guarantee model — under which entrepreneurs pledge their personal assets to secure business borrowing — is a standard feature of Irish business finance, but it means that when a business fails, the consequences for the individual can be devastating. McKillen Jr's case also illustrates the speed with which a prominent business figure can move from the heights of success to personal insolvency when the economic environment turns against them.
Local Impact
The collapse of Press Up and McKillen Jr's personal insolvency have had significant consequences for the Dublin hospitality sector. Several of the venues that were part of the Press Up portfolio have changed hands or closed, and the staff who worked in those establishments have had to find alternative employment. The broader hospitality sector in Dublin has been through an extraordinarily difficult period since the pandemic, with many businesses that survived the lockdowns subsequently struggling with rising costs, staff shortages, and changing consumer behaviour. McKillen Jr's story is an extreme version of a challenge that many smaller hospitality operators across Ireland have faced in recent years.
What's Next
The 70-day protection certificate granted by the High Court will allow McKillen Jr and his personal insolvency practitioner to develop a personal insolvency arrangement — a formal agreement with creditors that would allow him to address his debts in an orderly manner. The arrangement will need to be approved by a majority of creditors before it can take effect. If no arrangement can be agreed, McKillen Jr may face bankruptcy proceedings. The High Court had previously rejected his attempt to set aside a bankruptcy summons initiated by Herbert Street Property Finance over an alleged €2.1 million debt, though that case had been adjourned for six months.
