Written Answers Nos. 101 - 111
101. Deputy Pearse Doherty asked the Minister for Finance the person who signs off on and authorises the continuation of all legal proceedings and the issue of new proceedings from the date of the appointment of the special liquidator at Irish Bank Resolution Corporation. [32765/13]
View answerI have been advised by the Special Liquidators that the continuation or otherwise of all legal actions are signed off by the credit committees of the Special Liquidators.
102. Deputy Pearse Doherty asked the Minister for Finance the way court awards against the special liquidator will be funded. [32766/13]
View answer103. Deputy Pearse Doherty asked the Minister for Finance the way any court awards in favour of the special liquidator will be allocated and applied. [32767/13]
View answerI propose to take Questions Nos. 102 and 103 together.
I am advised by the Special Liquidators that where proceedings were initiated against IBRC prior to the appointment of the Special Liquidators these awards may rank as an unsecured creditor in the liquidation. I am further advised that awards against the Special Liquidators will be treated as a cost of the liquidation and funded through the sale of the assets of IBRC (in Special Liquidation). I am advised that Court awards in favour of the Special Liquidator will become an asset of IBRC (in Special Liquidation) and will be distributed to the creditors subject to the normal legal priorities as set out in the Companies Acts.
104. Deputy Pearse Doherty asked the Minister for Finance the tender process that exists for legal and professional services for the special liquidator. [32768/13]
View answerI am advised by the Special Liquidators that where the appointment of advisors or other providers of services is required, IBRC (in Special Liquidation) continues to use the Framework Agreement for engaging such services, put in place through a robust tender process, conducted by the former Management team, prior to Special Liquidation.
105. Deputy Pearse Doherty asked the Minister for Finance the amount of unsecured creditors at the date of liquidation of Irish Bank Resolution Corporation in February 2013. [32769/13]
View answer107. Deputy Pearse Doherty asked the Minister for Finance the amount due to creditors arising out of professional fees as at the date of the appointment of the special liquidator at Irish Bank Resolution Corporation in February 2013. [32771/13]
View answerI propose to take Questions Nos. 105 and 107 together.
I have been advised the Special Liquidators are currently agreeing all the creditors’ claims and it is therefore too early in the liquidation to ascertain the level of unsecured creditors.
106. Deputy Pearse Doherty asked the Minister for Finance if he will confirm the special liquidator's assertion that due to the level of insolvency of Anglo Irish Bank there will be no distribution to any unsecured creditors. [32770/13]
View answerI have been advised by the Special Liquidators that the normal Companies Acts’ priorities will apply in this liquidation process. The proceeds from the disposal of IBRC’s assets will be used to repay creditors in accordance with normal Companies Acts priorities, and consequently preferred creditors will be paid first and then the debt which NAMA has purchased from the Central Bank will be paid. If there are proceeds available after repayment in full of the NAMA debt, these proceeds will be applied to remaining unsecured creditors.
110. Deputy Pearse Doherty asked the Minister for Finance his views on the solvency of the Anglo Irish Bank pension scheme at the date of the appointment of the special liquidator in February 2013. [32774/13]
View answer111. Deputy Pearse Doherty asked the Minister for Finance the value of the Anglo Irish Bank pension fund at the date of the appointment of the special liquidator in February 2013. [32775/13]
View answerI propose to take Questions Nos. 110 and 111 together.
The Special Liquidators are unable to provide an opinion on the solvency or provide the value of the pension funds at the date of their appointment as the funds are held by independent trustees. The Special Liquidators have advised staff that their pensions are controlled by the scheme trustees who will have to independently assess the impact of the IBRC Act 2013 and the appointment of the special liquidators. I am further advised that the vast majority of IBRC staff were on defined contribution schemes (or no pension scheme) as opposed to a defined benefit scheme and the funds of these pensions schemes are held independently.
