Dáil Éireann Debate, Tuesday - 8 November 2011
131 Deputy Pearse Doherty asked the Minister for Finance the date from which the six covered institutions were legally covered by the Credit Institutions (Financial Support) Scheme 2008; and if he will make a statement on the matter. [33369/11]
View answerThe Deputy will be aware that the previous Government announced the bank guarantee on 30 September 2008 as a matter of public law. The formal statutory legal basis for the guarantee was provided by the Credit Institution (Financial Support) Act 2008 (No. 18 of 2008) and the Credit Institutions (Financial Support) Scheme 2008 (S.I. No. 411 of 2008) ("CIFS"). The CIFS was formally approved by both Houses of the Oireachtas on 17 October 2008. Seven financial institutions were covered by the CIFS: Bank of Ireland, Allied Irish Bank, Anglo Irish Bank, the EBS Building Society, Irish Nationwide Building Society, Irish Life and Permanent and Postbank. Most of the institutions joined the Scheme on 24 October 2008, with the exceptions of Postbank Ireland Ltd which was added on 5 November 2008 and EBS Mortgage Finance added on 4 December 2008.
Those institutions executed a guarantee acceptance deed and were designated in an order by the Minister for Finance and were "covered institutions". The list of "covered institutions", including their subsidiaries is set out in the table:
|
Covered Institution |
Subsidiary |
Date added to the Scheme |
|
Allied Irish Bank plc |
AIB Mortgage BankAIB Bank (CI) LimitedAIB Group (UK) plcAIB North America Inc. |
24 October 2008 |
|
Anglo Irish Bank Corporation Ltd. |
Anglo Irish Bank Corporation (International) Ltd. |
24 October 2008 |
|
The Governor and Company of the Bank of Ireland |
Bank of Ireland Mortgage BankICS Building SocietyBank of Ireland (I.O.M.) Limited |
24 October 2008 |
|
EBS Building Society |
EBS Mortgage Finance |
24 October 20084 December 2008 |
|
Irish Life and Permanent plc |
Irish Permanent (I.O.M.) Limited |
24 October 2008 |
|
Irish Nationwide Building Society |
Irish Nationwide (I.O.M.) Limited |
24 October 2008 |
|
Postbank Ireland Limited |
5 November 2008 |
CIFS expired on 29 September 2010 and was effectively superseded by the Credit Institutions (Eligible Liabilities) Guarantee Scheme ("ELGS") which came into effect on 9 December 2009. ELGS differs to the CIFS in several ways, for example, certain types of funding such as dated subordinated debt and asset backed securities are not covered.
All of the covered institutions under the CIFS, with the exception of Postbank Ireland Limited which has been wound-down, are also covered under the ELGS. I provided the Deputy with details of those institutions covered under the ELGS recently.
