Two healthcare facilities founded as Catholic ministries took legal steps yesterday to close down.

The Health Service Executive is to assume responsibility for disability and mental health services run by the St John of God charity, due to an “intolerable” financial deficit facing the organisation.

The charity is funded by the HSE to provide services to 8,000 children and adults on behalf of the State.

Nonetheless, it has been grappling with a mounting financial deficit in recent years, citing underfunding from the HSE.

On Wednesday the organisation decided to cease running the majority of its healthcare services, due to the funding crisis, and would transfer responsibility to the HSE over a 12-month period.

Meanwhile, The High Court has made orders formally winding up the operator of a south Dublin care facility, which caters for vulnerable adults, and a nursing home.

The company sought to wind up the facility, which is owned by the Sisters of Charity order of nuns, because it would be unable to meet redundancy payments of €950,000 arising from the liquidation.

The firm also cited regulatory difficulties, concerns over future funding from the HSE and an inability to comply with HIQA recommendations to modernise its facilities as reasons why it should be wound up.