Dáil Éireann Debate, Tuesday - 4 April 2017
54. Deputy Catherine Murphy asked the Minister for Finance if the Comptroller and Auditor General has raised concerns regarding the issues associated with IAS39; if the Comptroller and Auditor General has raised IAS39 with his Department; and if he will make a statement on the matter. [16430/17]
Amharc ar fhreagraGiven that the Comptroller and Auditor General and his office have no dealings with the banks in which the State has investments or with IBRC, I am assuming that the Deputy is querying whether the Comptroller and Auditor General has raised concerns regarding the issues associated with IAS 39 with respect to NAMA and I am answering the question on that basis.
IAS 39 is the current accounting standard for the recognition and measurement of financial assets and liabilities which applies to annual periods beginning on or after 1 January 2005. As accounting standards continue to evolve, IAS 39 will be largely replaced by IFRS 9 Financial Instruments for annual periods beginning on or after 1 January 2018.
The Comptroller and Auditor General has not raised concerns to me regarding issues associated with IAS 39 with respect to NAMA and I am not aware that he has raised concerns on this matter to officials in my Department.
The accounts of NAMA and the banks in which the State has investments are audited in line with the prevailing accounting standards applicable at the time. In the case of NAMA, its accounts are audited by the C&AG. In the case of the banks, their accounts are audited by their duly appointed statutory auditor. To my knowledge, no concerns have been raised in any of the audit opinions, contained in the annual reports of these institutions, with respect to the use of this international accounting standard by any of these institutions.
I note that the Deputy has made a number of contributions around this matter over the past number of weeks. There seem to be many concepts at play in the Deputy's questions and remarks in the Dail including accounting standards, central bank borrowings, secured lending, unsecured lending, loan sales, asset sales, sub participation arrangements, legal and beneficial ownership of assets and loans, among other concepts.
In light of the Deputy's contributions and her recognition that this is a technical matter, I would be happy to make my officials available to meet to better understand the concerns raised by the Deputy.
