Two men have gone to court in Ireland demanding the payment of €8.5 million within the framework of an accord related to the ownership of the lands on which the Murdeira Beach Resort will be built on the island of Sal.

According to the Irish Times, Irelands Commercial Court accepted a complaint on April 27 lodged by architect Brian Murphy-OConnor and businessman Ted Whitaker against the director of Cape Verde Development, Tom Sheehy, and civil constructor John Cahillane.

The plaintiffs affirm that they are owed some €8.5 million, according to a judicial accord signed by the two parties on December 14, 2007. At issue was Murphy-OConners and Whitakers exit from the acquisition and development of 150 hectares of land in Cape Verde that is part of the future Murdeira Beach Resort.

According to their complaint, on December 8, 2005, both sides decided that the lands would be the property of a company registered in Cape Verde, Murdeira Beach Resort 1 SA. In addition, 80% ofthis companys social capital would be held by Madeira Beach Developments Lda., headquartered in Madeira, Portugal.

Also according to the documents, the companys shares would be divided in three parts. Each of the two Irish parties would get 25% of the shares, while the rest would belong to a Cape Verdean owner. The division was later altered with the purchase of additional land on Sal, with the total value of the property standing at some €81 million.

In testimony included in the documents, Murphy-OConner explains that the commercial relationship between the two sides deteriorated in the years to follow. His and Whitakers pull-out from Madeira Beach Developments ended up involving the Irish justice system as well.

In December of 2007, the two sides arrived at an accord, according to which Sheehy and Cahillane agreed to pay €11.3 million in three installments, beginning in March 2008. Instead, the first installment was paid in five separate portions between March and May of 2008.

In October 2008, the second installment failed to be paid. Murphy-OConner affirms he held conversations regarding the debt with Cahillane between January and March of this year. Even so, no progress was made, and the two plaintiffs are now demanding the payment of the remaining €8.5 million.