andMr. McQuillan asked the Minister for Industry and Commerce whether the requests by the Equitable Insurance Company Limited for an extension of time before presenting audited accounts contained any indication that the extensions were needed because the company was in financial difficulties.
Ceisteanna—Questions. Oral Answers. - Equitable Insurance Company Limited.
13.
The answer is "no".
Does the Minister not agree that before granting the extension of time, he should have made a request for some clarification as to why the company wanted the extension so that if he found the company was in financial difficulties, he could have warned the public and so prevented many of them now finding themselves in difficulty with regard to insurance?
I informed the Deputy by way of answer to supplementary questions on the last occasion he asked this question, or a similar one, that I was made aware that the managing director of the company died in the latter part of the accounting year in question. I was also told that the managing director himself looked after the preparation of the accounts, in consultation with the auditors for the company, and that the remaining members of the firm had some difficulty in having these accounts prepared and made ready for the audit.
Is it not a fact that even when the Minister did become aware that the company was bankrupt and unable to meet its commitments, he allowed the company to continue doing business and issuing policies to the general public and will he not admit that that was gross neglect of his public duty?
I have told the Deputies that I got these accounts during the first week of April; I had them examined and within a week or ten days of having received the account, I moved in the High Court for the compulsory liquidation of the company. I do not think I could have moved more expeditiously.
Is the Minister aware that several people in my constituency and other areas in the west of Ireland took out policies with this company between the time the Minister was made aware of the position, and knew that the company was not fit to do business, and the time the notice appeared in the paper that the Minister was moving in the High Court? Why did the Minister not move earlier when he knew he had to remind the company to issue a statement?
I moved as soon as I could statutorily do so following receipt and examination of the accounts. If any of the Deputy's constituents have suffered as a result, I announced in the House last week that I proposed to consult with the Irish assurance companies to see what measures, if any, we could take to relieve hardship cases. I have already initiated this and I hope something good will come out of it.
That is a bit late in the day.