Dormant Accounts Fund

Dáil Éireann Debate, Tuesday - 1 May 2012

Tuesday, 1 May 2012

Ceisteanna (385, 386)

Maureen O'Sullivan

Ceist:

458 Deputy Maureen O’Sullivan asked the Minister for the Environment, Community and Local Government in relation to Dormant Account Inspection Reports, which have been completed by the Central Bank of Ireland, if he will agree that these reports have been undertaken under Sub-section 5(c)of section 33AK Central Bank Act 2003 which prescribes that the Central Bank may disclose information where the bank acts as an agent for some other party; his views on whether the inspections carried out to date were carried out further to the Dormant Accounts Acts and accordingly, as a creature of those Acts, that the Central Bank was acting as the Dormant Accounts Board’s agent in carrying out the inspection reports; accordingly, if he will considers that it is appropriate, as a matter of statute law, that the Central bank should publish the reports, or at very least, make them available to Dormant Accounts Board, which is mandated by primary statute law; which is to say that, in the circumstances, the Central bank is permitted to disclose the inspection reports regarding the financial institutions, they being contributors to the Dormant Accounts Fund, that the Central Bank supervises under Section 33AK of the Central Bank Act, 2003; and if he will make a statement on the matter. [21424/12]

Maureen O'Sullivan

Ceist:

459 Deputy Maureen O’Sullivan asked the Minister for the Environment, Community and Local Government if he will seek a report from the Central Bank of Ireland regarding its intentions in respect of future inspections of the sixty or so financial institutions that contribute to the Dormant Accounts Fund, only two of which, so far unnamed, have been inspected to date, with the inspection reports unpublished and not, so far, furnished to the statutory Dormant Accounts Board; and if he will make a statement on the matter. [21425/12]

Freagraí scríofa

Minister for the Environment, Community and Local Government (Deputy Phil Hogan)

I propose to take Questions Nos. 458 and 459 together.

The Central Bank, acting on behalf of the Minister for Finance, engaged PwC (Price Waterhouse Coopers) to carry out inspections of dormant accounts over a two year period. Under the Dormant Accounts Act 2001, as amended, and the Unclaimed Life Assurance Policies Act 2003, the Central Bank may authorise inspectors for the purpose of ensuring compliance by financial services providers with the provisions of this legislation. I did not authorise the PwC inspections under the Dormant Accounts legislation and my Department had no role in regard to the reports. The Central Bank was, in the circumstances, acting on its own authority and not, as suggested, acting as an agent of the Dormant Accounts Board.

The advice provided by the Central Bank is that it is not permitted to disclose confidential information concerning the banks that it supervises; I must respect the independence of the bank in such matters. Under the Dormant Accounts legislation, where, following an inspection, there is reason to believe that an institution is in breach of any provision of the legislation or there is a material defect in the systems, procedures and practices referred to in section 22 (1) (c) of the 2001 Act, the inspector must prepare a report, in writing, and submit a copy to the Minister for the Environment, Community and Local Government. I have no plans at present to seek a report from the Central Bank regarding its intentions in respect of future inspections of the financial institutions that contribute to the Dormant Accounts Fund.