Michael Creed
Question:81 Mr. Creed asked the Minister for Finance the meetings, if any, he has had with representatives of ICC and ACC since he took office; and if he will make a statement on the matter. [1912/98]
Written Answers. - State Banking Sector.
Róisín Shortall
Question:82 Ms Shortall asked the Minister for Finance if he will confirm if the Government made a decision prior to Christmas 1997 that it intends to sell up to 100 per cent of the equity which it holds in ICC Bank; and if he will make a statement on the matter. [1938/98]
Emmet Stagg
Question:119 Mr. Stagg asked the Minister for Finance if he will confirm if the Government made a decision prior to Christmas 1997 that it intends to sell up to 100 per cent of the equity currently held by the State in ACC Bank; and if he will make a statement on the matter. [1937/98]
I propose to take Questions Nos. 81, 82 and 119 together.
The question of restructuring the State banking sector has been considered by successive administrations since the early 1990s. This is a very complex issue given the major changes which have occurred in the banking marketplace over the past few years. These developments have increasingly underlined the fact that the position of the ACC and ICC Banks cannot remain as it is. In view of this, I met Ms Gary Joyce, chairman of ACC Bank, on Thursday, 17 July 1997 to invite her to put forward proposals to me regarding the future of ACC Bank. My predecessor had already invited the chairman of ICC Bank to put forward proposals in relation to its future. Subsequently, the Government authorised me to enter into consultations with the boards, management and staff of these banks, with a view to developing detailed proposals on the future structure and ownership of the banks, in a way which would recognise the interests of all stakeholders, including the taxpayer. To this end, I met with the management and staff of both ACC and ICC Banks on 8 December 1997. In the course of these meetings, I impressed upon them that the status quo was not an option for the banks in the long term and that any process for restructuring the banks would have to be open, transparent and non-discriminatory. Other than this, the Government is open to all options regarding the future of the banks, including, in principle, disposal of up to 100 per cent of the State's interest in these banks. Following my initial meetings, I am currently awaiting formal submissions from the staff unions in both banks.