As the Deputy is aware the Board of the bank is responsible for the day to day operation of the bank including communications with the bank's customers. Nonetheless when the matter of the text communication was raised in the context of the UK Court hearings I wrote to the Chairman of the bank seeking assurances in relation to the matter.
I have been informed by the bank that IBRC uses multiple forms of communication when communicating with clients and text messaging is a normal means of communicating with people quickly and efficiently in certain circumstances, in particular with clients who travel regularly and who do not have immediate access to email.
The CEO communicated with this performing client of the Bank in this manner following a Board decision that impacted on his relationship with the Bank. This was, in the opinion of the bank, an appropriate and necessary communication to confirm to the client the outcome of the Board's deliberation with regard to the future of his loans. The CEO has the full support of the Board in relation to this matter.
Furthermore, IBRC is a separately regulated State entity with a specific mandate to ensure the maximum return to the Irish taxpayer in the management of its business. The bank's decisions are based on its total client exposure and the optimum re-structuring of its loans to secure maximum recovery for the State. IBRC therefore does not and should not, in normal course business, make decisions based on independent courses of action chosen by NAMA.