Quinn loans included in shock figures
Published 01/09/2010 | 05:00
Losses on loans given to Sean Quinn and his family are understood to have been included in yesterday's €8.1m Anglo loss.
Chief executive Mike Aynsley refused to discuss individual customers, but the Irish Independent understands that losses on the Quinn loans were included in a provision relating to general non-property loans.
Sean Quinn and his family are believed to owe the bank in the region of €2.8bn and negotiations over how this money will be repaid are continuing.
The potential sale of Quinn Insurance is likely to make it more difficult for the Quinns to repay this money.
The bank is increasingly taking control of businesses with debt problems and yesterday it signalled an intention to take over several US firms, as well as other companies in Ireland.
This is normally achieved by a debt for equity swap, where debt is swapped for shares in the indebted company.
Mr Aynsley defended the recent decision to take over Arnotts, which owes Anglo about 55pc of the €300m it has in loans. Mr Aynsley said the bank was against putting the the retailer into receivership, citing job losses.