Eligible deposits in IBRC are covered by the joint safeguards of the Deposit Guarantee Scheme (DGS) and/or the Eligible Guarantee Scheme (ELG). Eligible deposits of up to €100,000 for an individual and €200,000 for individuals with a joint account in IBRC are protected by the DGS. Eligible deposits above this limit are guaranteed under the ELG. The majority of the deposits in IBRC are covered under one or both of these schemes. I am advised that the Bond referred to by the Deputy has a structured deposit element which is covered by the Deposit Guarantee Scheme for that element of the product. As a result the first €100k of any claim from these depositors is covered under the DGS Scheme. I have been advised that the Liquidator is aware of a number of depositors who fall outside the eligibility criteria for the ELG Scheme due to the nature of the investment product. Unfortunately, if a deposit is not eligible under the ELG scheme the depositor will rank as an unsecured creditor in the liquidation.
The deposit element of these tracker bond products were among the portfolio of deposits that were not transferred to AIB following an auction as part of the 2011 Transfer Order. It was not a requirement that all deposits be transferred to AIB under this process.