Banks Recapitalisation

Dáil Éireann Debate, Tuesday - 23 October 2012

Tuesday, 23 October 2012

Questions (177)

Clare Daly

Question:

177. Deputy Clare Daly asked the Minister for Finance in the context of the principle of equality before the law as a corner-stone of the constitution, if he will explain the way it is compatible with that Constitutional provision that mismanaged and insolvently operating banks were and are treated preferentially over and above other financially distressed private companies, businesses and persons; and the factors that make a private commercial bank different in nature to other private companies for the purposes of securing a bail-out courtesy of taxpayers. [46254/12]

Written answers

Minister for Finance

As the Deputy will be aware the banks were not and are not trading while insolvent and the constitutional concept of equality (as per Article 40 of Bunreacht na hÉireann) relates to equality between citizens (as human persons). Government must make decisions for the common good and in this case, the State has agreed to provide the necessary support to the banks in order for them to continue to operate and fulfil their crucial role in the Irish economy.