Alan Shatter (Dublin South, Fine Gael) | Oireachtas source

As Deputy Collins is aware, this matter was the subject of a Topical Issue debate on 27 November 2013 which was dealt with by the Minister of State, Deputy Kathleen Lynch, in my absence. I should explain first that to address the problem of over-indebtedness, the Government has brought forward significant modernisation of the law, primarily through the enactment of the Personal Insolvency Act 2012 and reform of the Bankruptcy Act 1988. The Personal Insolvency Act established three new debt resolution mechanisms, of which the House is aware, namely, the debt relief notice, the debt settlement arrangement and the personal insolvency arrangement.

On the matter of property trusts, I can confirm that trust law allows for the legal title of land to be held by trustees not for their own benefit but rather for the benefit of the beneficiaries of the trust. The trust mechanism may be used in family situations where, for example, the intended beneficiary is a minor or is otherwise incapable of managing the property. Trusts are also commonly created in the context of wills where the testator may leave property to his or her spouse for life and afterwards to his or her children. The creation of trusts for charitable purposes is also common.

I am aware of only one property trust of the type referred to by the Deputy in his question. This trust has been the subject of significant media attention in recent times. Obviously, I would advise distressed debtors to examine the range of debt relief solutions available through the Insolvency Service of Ireland and to engage with their creditors in resolving their personal situations rather than pursuing unrealistic solutions being proposed by other groups or individuals.

The Property Registration Authority is the State authority which manages and controls the Land Registry and the Registry of Deeds. I am advised by the authority that in recent months more than 500 applications were received in the Land Registry office for registration of notices of certificate of acknowledgement of the living man's claim of right. These appear to be applications to record on a State register the acknowledgement of the living man. The freeman on the land is one of a number of groups, originating in Canada and the US which advance the notion that the legal person and living person are two distinct entities, a particularly interesting concept. The living person is, in that belief system, not bound by law or court rulings unless and until the living person or freeman contracts to accept such law. I am advised that obtaining entry on a State register of the recognition of the living man or freeman on the land is often a first tactical step within these groups.

These applications were all rejected by the Property Registration Authority. I warn the public to be aware of spurious legal constructs which are presented to them by individuals who have an agenda but who do not have the legal expertise to know what they are talking about or the legal qualifications. People should be very aware of not getting caught up in such circumstances.

Additional information not given on the floor of the House

In so far as the Registry of Deeds is concerned, the documents that were presented for registration were not deeds within the meaning of section 32(1) of the Registration of Deeds and Title Act 2006. Therefore, no registration could be made in the office. In so far as the Land Registry is concerned, the registers, which are maintained in that office, must consist of information required to be recorded under the Registration of Deeds and Title Acts 1964 to 2006 and be authorised by the Land Registration Rules 2012. The applications received in these particular cases did not constitute applications for an authorised entry on the folios of the register and were not in a form prescribed by the Land Registration Rules 2012. I am advised by the Property Registration Authority that no applications appear to have been received from any other trust of this nature and staff continue to monitor the situation.

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