Written Answers Nos. 188-204
188. Deputy Pearse Doherty asked the Minister for Finance if the special liquidators of Irish Bank Resolution Corporation have complied with all their obligations to file in the High Court since the date of their appointment; and, if not, the specific filing obligations with the High Court that the special liquidators have not complied with since the date of their appointment. [34234/13]
View answer189. Deputy Pearse Doherty asked the Minister for Finance the filings that have been made in the High Court with regard to the special liquidators' obligations as liquidators since the date of their appointment. [34235/13]
View answerI propose to take Questions Nos. 188 and 189 together.
I have been advised by the Special Liquidators that they do not have any obligation to file any document in the High Court.
190. Deputy Pearse Doherty asked the Minister for Finance the basis and reasoning for the removal of section 313 of the Companies Act 1963 by the Irish Bank Resolution Corporation Act 2013. [34236/13]
View answerThe Irish Banking Resolution Corporation Act 2013 provided that section 313A of the Companies Act 1963 shall not apply to the liquidation of IBRC. The said section 313A provides that, on the making of a winding up order or an order appointing an examiner to a company, the liquidator or examiner concerned may obtain a copy of the order from the Central Office of the High Court. This section bears no relevance to the liquidation of IBRC as IBRC was liquidated by a Special Liquidation Order and there was no relevant order made by the High Court and filed in the Central Office. In any event, the Special Liquidation Order, as a statutory instrument, is a document of public record freely available and the Special Liquidator has been provided with a copy of that order.
191. Deputy Pearse Doherty asked the Minister for Finance the basis for his stated reasons of commercial confidentiality and sensitivities in respect of his refusal to confirm the amount of legal and professional fees being incurred by the special liquidators since their appointment. [34237/13]
View answer192. Deputy Pearse Doherty asked the Minister for Finance the reason for his information black-out on the payments of legal and professional fees by Irish Bank Resolution Corporation with the public interest. [34238/13]
View answerI propose to take Questions Nos. 191 and 192 together.
The Special Liquidators will fully comply with their reporting obligations and as such the liquidation accounts will be filed with the CRO after two years of the liquidation and yearly thereafter. These accounts will include detail on the costs, charges and expenses incurred by the Special Liquidators in that period.
As is normal in liquidations of companies, all costs, charges and expenses properly incurred by the Special Liquidators in relation to the winding up of IBRC, including the Special Liquidators’ fees, will be paid out of the assets of IBRC in priority to all other claims.
The Special Liquidators are responsible for maximising the recovery of the assets of IBRC for the benefit of its creditors. I am advised that the Special Liquidators are keenly aware of their obligations in that regard but that disclosure of commercially sensitive fees and expenses, beyond what is legally required, could potentially have a detrimental impact on the liquidation.
193. Deputy Pearse Doherty asked the Minister for Finance the members of the credit committees of the special liquidators of Irish Bank Resolution Corporation. [34239/13]
View answer194. Deputy Pearse Doherty asked the Minister for Finance the person who employs the members of the credit committees of the special liquidators at Irish Bank Resolution Corporation. [34240/13]
View answer195. Deputy Pearse Doherty asked the Minister for Finance the remuneration of the members of the credit committees of the special liquidators at Irish Bank Resolution Corporation. [34241/13]
View answer196. Deputy Pearse Doherty asked the Minister for Finance if he approves all decisions of the members of the credit committees of the special liquidators at Irish Bank Resolution Corporation. [34242/13]
View answerI propose to take Questions Nos. 193 to 196, inclusive, together.
I am advised by the Special Liquidators that for the larger regulatory group exposures, the Group Credit Committee (“GCC”) of IBRC (in Special Liquidation) decides on all credit decisions. The GCC is chaired by the Chief Risk Officer. The Local Credit Committees of IBRC (in Special Liquidation) are chaired by one of the four direct reports to the Chief Risk Officer. Quorums comprise two credit risk staff members, one business manager and one Special Liquidator nominee.
All decisions are unanimous, otherwise the proposal is withdrawn. Members of the credit committees are chosen in line with IBRC (in Special Liquidation) group policies and procedures. The Department of Finance is not represented on the Credit Committees and I do not have any role in approving the decision of the members of those committees.
I have been advised by the Special Liquidators that they cannot comment on the remuneration packages of individual staff members of IBRC (in Special Liquidation).
197. Deputy Pearse Doherty asked the Minister for Finance the amount of fees paid to date to a person (details supplied) on behalf of Anglo Irish Bank-Irish Bank Resolution Corporation since vacating their position as Attorney General on 9 March 2011. [34244/13]
View answerI am advised by the Special liquidators that due to commercial confidentiality and sensitivities and also client-solicitor confidentiality, the Special Liquidators are not in a position to provide these details.
198. Deputy Pearse Doherty asked the Minister for Finance the amount of fees paid to date to a person (details supplied) on behalf of the National Asset Management Agency since vacating their position as Attorney General on 9 March 2011. [34245/13]
View answerI have been informed by NAMA that in the period since March 2011, it has paid fees of €6,624 to the individual in question.
199. Deputy Pearse Doherty asked the Minister for Finance the amount of fees paid to date to a person (details supplied) on behalf of the Central Bank since vacating their position as Attorney General on 9 March 2011. [34246/13]
View answerI am informed by the Central Bank that, for reasons of commercial sensitivity, it is not its policy to disclose information on fees paid to individuals or individual firms. The Central Bank points out, however, that it provides information from time to time in relation to different expenditure categories.
200. Deputy Pearse Doherty asked the Minister for Finance the amount and details of pension entitlements paid out to the former directors and non-executive directors of Irish Bank Resolution Corporation since the date of nationalisation of the bank. [34247/13]
View answer201. Deputy Pearse Doherty asked the Minister for Finance the amounts and details of any pension lump sum paid out to the former directors and non-executive directors of the Irish Bank Resolution Corporation since the date of nationalisation of the bank. [34248/13]
View answerI propose to take Questions Nos. 200 and 201 together.
I am advised that the pension schemes are operated independently from the bank under distinct rules and legislation. Pension entitlements are paid from the funds of the relevant schemes and in accordance with the rules of the particular scheme. I am advised by the Special Liquidators that they cannot comment on the emoluments of individual staff members of IBRC (in Special Liquidation).
202. Deputy Pearse Doherty asked the Minister for Finance why the audited accounts prepared by Ernst and Young for Anglo Irish Bank for the year ending 30 September 2008, signed off on by Mr. Alan Dukes and others in February 2009, one month after the bank's nationalisation, did not reflect the serious and fatal liquidity crisis revealed in the disclosures from the Anglo tapes that clearly existed in Anglo Irish Bank from March 2008 onwards. [34249/13]
View answerI refer the Deputy to his Parliamentary Question - 163 - of Tuesday, 9th July. The audited accounts of Anglo Irish Bank for the year ended 30 September 2008 reported that the bank was not insolvent at that time. However, it is now clear that the full extent of the evolving problems in global financial crisis or the property market were not envisaged in any assessment of the bank at that time. In the course of 2009/2010 the extent of the problems became clear and the level of impairments on assets increased substantially necessitating further injections of capital to sustain the capital position of the bank. In terms of the liquidity issues being encountered by the Bank in 2008, the Deputy will be aware that a State guarantee was put in place on 29 Sept 2008 which included Anglo Irish Bank.
203. Deputy Pearse Doherty asked the Minister for Finance the consideration that is being taken against the former directors and non-executive directors and officers of Anglo Irish Bank regarding their obligations under the Companies Acts in regard to reckless trading. [34250/13]
View answer204. Deputy Pearse Doherty asked the Minister for Finance if a director of Anglo Irish Bank was found to have acted in reckless or fraudulent manner that such a director or shadow director would be pursued in accordance with the Companies Acts and held personally liable for the debts of the bank in order to achieve some recovery and sanction in the public interest. [34251/13]
View answerI propose to take Questions Nos. 203 and 204 together.
The Office of the Director of Corporate Enforcement is responsible for the enforcement of breaches of company law and it is the function of the director of the ODCE to investigate if the former members of the Board of Anglo Irish Bank complied with their regulatory responsibilities and duties. As there are currently a number of court cases ongoing into matters at Anglo Irish Bank it would not be appropriate for me to comment further as it could prejudice the proceedings.
It is the responsibility of the investigating body to request the former members of the Board of Anglo to explain their actions and provide a report on the affairs of the bank. I do not give instructions to the ODCE as it is not my role and it would not be appropriate for me to do so.
The DPP has now issued proceedings against three former executives in Anglo Irish Bank in relation to various offences under the Companies Act’s. It is hoped that these cases will be progressed through the Courts in the first half of next year. Due to the sensitive nature of those issues, it would be inappropriate for me or the bank to comment further at this time.
