Ex-attorney generals in running for NAMA expert role
Wednesday August 19 2009
THREE former attorney generals are in contention for the role of legal expert on the board of the soon-to-be established National Asset Management Agency (NAMA).
David Byrne, Michael McDowell and Ruairi Brady have emerged as potential candidates for the legal position on the seven-man board.
The board will be made up of members with expertise and experience at a senior level in the areas such as finance, economics, law, property valuation and risk management.
However, considering the possibility of legal challenges surrounding NAMA, it is understood that role of legal expert is being carefully considered.
The present Attorney General, Paul Gallagher, has already played a pivotal role in the setting up of NAMA.
The proven track record in the public service of all three potential candidates is seen as a means of winning support for their appointments.
“The strength of the independent directors appointed to the banks is the fact that many are household names with proven track records.
They are looking for similar people in the make-up of the NAMA board,” one source said.
Appointed The National Treasury Management Agency's Brendan McDonagh has been appointed interim managing director at the body, which has been designed to purge the banks of €60bn to €90bn in developer loans.
The role of chairman has yet to be decided. It is envisaged that NAMA will outsource the day-to-day administration of the loans back to the original bank lenders.
Meanwhile, the controversial valuation methodology set to be used by NAMA to value the property loans is currently with the European Commission for discussion.
It is expected that Brussels will sign off on the details in early September.
The amount NAMA will pay for property-related loans has exploded into a major political issue in recent weeks, with some economists believing that the ‘haircut’ NAMA will apply when it issues government bonds to the banks in return for property loans will be simply too high.
