Willie Penrose
Ceist:78 Mr. Penrose asked the Minister for Finance if he will make a statement on the outcome of the meeting of the Council of Finance Ministers held in conjunction with the Ghent Summit. [25360/01]
Other Questions. - EU Meetings.
Derek McDowell
Ceist:111 Mr. McDowell asked the Minister for Finance if he will report on the ECOFIN meeting held on 16 October 2001; and if he will make a statement on the matter. [25367/01]
I propose to take Oral Questions Nos. 78 and 111 together.
No more than 12 minutes will be allocated.
The Economic and Finance Council met on 16 October 2001 and also held a joint session with the Justice and Home Affairs Council later that day. The Council did not meet in conjunction with the Ghent Summit. The two main issues of current interest discussed at the ECOFIN meeting were the arrangements for reinsurance of aviation and measures to counter the financing of terrorism. Both issues arose in the aftermath of the events of 11 September. On reinsurance, the general issue of support for the airline industry in consequence of 11 September was being debated at the Transport Council, which ran concurrently to the ECOFIN meeting. In that context ECOFIN, while underlining the need to act in concert with the Transport Council, favoured a monthly review of the insurance measures in the member states with a definitive time limit for expiry of those measures by the end of December 2001.
Regarding the financing of terrorism, the Council agreed a package of sanctions against international terrorism, including the importance of an early adoption of the draft directive on market abuse and the freezing of funds belonging to states, organisations or individuals suspected of terrorist connections. This approach was supported by the conclusions agreed later that day of the joint ECOFIN-Justice and Home Affairs Council on measures to be taken in the fight against terrorism, money laundering and financial crime.
Other subjects discussed in the ECOFIN Council included the employment package, proposals for a directive on the activities of institutions for occupational retirement provision and the directive on money laundering. The Council also adopted a statement for the Ghent European Council meeting on the preparation for change-over to the euro. Lunch time discussions included consideration of the general economic situation and of further means of combating the financing of terrorism. The discussions also included a debriefing on the G7 Finance Ministers' recent meeting and on the Eurogroup meeting of the previous evening.
Can the Minister tell the House if it has been established beyond doubt that European stock markets were abused in the days coming up to 11 September to make profits for those associated with the atrocity in New York? Arising from discussions at the ECOFIN meeting, has agreement been reached on measures to be taken to prevent such abuses in future? Have measures been taken here to further the aim of the Council in freezing the assets of terrorist groups?
The subject of the suspected use of stock markets prior to the events of 11 September was briefly referred to at the Eurogroup meeting. An investigation is under way in Europe and the United States of America. These things are very difficult to prove. As further information comes to light it will be reported upon and we will all know about it. Nobody can state definitively that there was abuse or that there was not, however it is widely suspected that there was, as the Deputy knows from international news reports.
Have measures been taken here to freeze the assets of terrorist groups?
I do not know that it is in this brief, but the way this works is as follows. UN Resolution 1353 is agreed by the EU and then incorporated into Irish law. I signed a statutory instrument some weeks ago which copperfastens the list supplied to Europe by the UN and President Bush. Other names will be added to it to be incorporated into the statutory instrument.
Has action been taken to freeze specific assets of terrorists in Ireland?
As far as I am aware, nothing like that has turned up. The Central Bank has notified all the financial institutions of the lists to which I refer.
The Minister would have to ask Gerry Adams for permission to do that.
The regulations affect us, but as far as I am aware no financial institutions has one of these accounts.
Written Answers follow Adjournment Debate.