Vol. 545 No. 2
34 Ms O'Sullivan asked the Minister for Finance if a guarantee of indemnification has been given to a bank (details supplied) against potential liability arising out of legal actions against ACC Bank over its role in the funding of a hotel (details supplied); the extent of such guarantee; and if he will make a statement on the matter. [29961/01]
As the Deputy may be aware, in reply to a parliamentary question on 24 October put down by Deputy Howlin, I informed the House that the board of ACC Bank plc had recommended to me that it should proceed to sale contract negotiations with Rabobank Nederland and that I had approved its recommendation. I also stated that I was looking forward to receiving the board's recommendation following completion of the negotiations. I am still awaiting this recommendation.
Meanwhile, contract negotiations are ongoing between the two banks and it would be inappropriate for me to comment in any way on these negotiations until such time as they are completed and I have received the recommendation from the board. If the board's recommendation is acceptable, I will take the matter to Government and, in due course, under section 5 of the ACC Bank Act, 2001, I will seek a motion of approval from the House before proceeding with the sale of my shares in the bank. As previously stated, details of the board's recommendation will then be given to each Member of the House prior to the date of the motion to allow Deputies reach a fully informed view.
