Developers Simon Kelly and John Walsh are suing ACC Bank for about €5m alleging the bank prevented the letting of a building to tenants. The case is listed for mention in the Commercial Court tomorrow.

Kelly is the son of developer Paddy Kelly, whose Redquartz Atlanta Developments has had to drop plans to invest $60m in the 1,350-acre Amelia Island resort in Florida after it was unable to raise the necessary finance. Paddy Kelly is a stakeholder in Redquartz Atlanta but would not have had a direct interest in the Amelia project. Paddy Kelly has secured additional banking facilities from Anglo Irish Bank in recent weeks after being hit with a series of court judgments and admitting he was considering a bankruptcy arrangement.

The deal would have given Redquartz Developments Atlanta a 51% stake in the resort, which has more than three miles of beachfront, golf courses, hotels, 40 restaurants and spas.

Paddy Kelly is understood to be expecting his assets and loans to be transferred to the National Asset Management Agency once it comes into effect. His various joint ventures are worth about €3bn, informed sources have told the Sunday Tribune, and his US interests include a $1bn scheme planned for Sarasota in Florida and a hotel in Atlanta.