Dáil Éireann Debate, Tuesday - 17 November 2015
215. Deputy Paul Murphy asked the Minister for Finance if he will instruct the Allied Irish Banks that, in view of the homeless and accommodation crisis, it should not evict sitting tenants from properties of which it takes possession, but that it should renew the leases of these tenants; his plans to instruct other banks to accept rent supplement in all cases, including in the case of persons (details supplied) in Dublin 13. [40547/15]
View answerAs the Deputy is aware, I have no direct function in the relationship between banks and their customers, and intervention in specific cases would be inappropriate. The banks are run on an independent and commercial basis. Decisions taken by the banks are a matter for the board and management of the relevant institution. The Relationship Frameworks define the 'arm's length' nature of the relationship between the State and the banks in which the State has an investment. These Relationship Frameworks were published on 30 March 2012 and the AIB Relationship Framework can be found at: http://finance.gov.ie/sites/default/files/Allied-Irish-Banks1.pdf.
In relation to tenancy, AIB have informed me that where the Bank comes into possession of a property through the appointment of a receiver, there is a fiduciary obligation on the receiver to obtain the best return it can from the disposal of the asset. This is in order to minimise the outstanding obligations of the borrower. In order to achieve this the receiver may in some, but not all, circumstances require to seek vacant possession of the property. However, where this is the case I am informed that the receivers utilised by AIB adhere to the minimum notice periods as set down by the Private Residential Tenancies Board (PRTB) for registered tenancies.
