State Banking Sector Regulation

Dáil Éireann Debate, Wednesday - 26 September 2012

Wednesday, 26 September 2012

Questions (62)

Michael McGrath

Question:

62. Deputy Michael McGrath asked the Minister for Finance the efforts made by his Department and the Irish Bank Resolution Corporation to seek repayment of the €1 million bonus previously paid to the former head of the Irish Nationwide Building Society Mr. Michael Fingleton and also the return of a watch which was given by the building society to him by way of a gift on his retirement, including the dates of any letters issued to Mr. Fingleton dealing with these matters and confirmation of whether or not such correspondence was responded to. [41021/12]

Written answers

Minister for Finance

I have been advised by IBRC that following the transfer of the former Irish Nationwide Building Society (‘INBS’) to the Bank in July 2011, the Bank wrote to Michael Fingleton on 2 August 2011 seeking repayment of the €1m bonus paid to him by the former INBS and the return of the watch that he was given upon his retirement. The Bank received a response from Mr Fingleton dated 10 September 2011. Subsequent to this the Bank issued a further letter to Mr Fingleton dated 27 September 2011. The Bank has not yet received a response to this letter. Subsequent to writing to Mr Fingleton, the Bank sought and obtained Senior Counsel's advice in connection not only with these matters but with the management of the former INBS by Mr Fingleton and a number of former directors and officers of the former INBS. Having done so, the Bank sought and obtained Ministerial consent to the issue of protective proceedings against Mr Fingleton and certain former officers and issued those proceedings on 29 March 2012. As the proceedings have been issued and the Bank continues to actively investigate all legacy matters, including those related to the proceedings, it would be inappropriate for me to comment further on the status of the proceedings at this time.