ANGLO Tapes that could prove that directors knew customers were overcharged by a staggering €500m are being sought in a US court, as part of a legal action against the bank.
If the bank is shown to have defrauded customers, it could throw into doubt the effort to liquidate Anglo by selling off its remaining loans to investors.
The request for "discovery" of new Anglo Tapes, plus minutes from Anglo Irish Bank board meetings and other files and documents, was made to the Bankruptcy Court in the US state by banking expert Eddie Fitzpatrick.
A forensic examination of 270 Anglo Irish Bank business loans showed overcharging by the bank in every single case, Mr Fitzpatrick said in a sworn statement.
In total, Anglo customers were overcharged in excess of €500m, Mr Fitzpatrick told the court.
It is claimed that the overcharging related to alleged manipulation of the so-called LIBOR and EURIBOR interest rates, the constantly changing 'interbank' lending rates used to set the price of many corporate loans, according to the sworn statements in his expert testimony.
Mr Fitzpatrick, who runs Belfast financial services company Bankcheck, said "loading" of interest charges cost Anglo customers up to 0.05pc extra on their borrowing costs.
"In my opinion, the extent of the loading of rates and the lack of correlation in the amount by which the rates were loaded by would lead me to conclude that the conduct of the bank could have been nothing other than deliberate or, to put it another way, an attempt to defraud customers," Mr Fitzpatrick said.
The statement submitted to the American court yesterday is part of an attempt by developer John Flynn to block the special liquidators of the former Anglo Irish Bank being granted legal protection from being sued in the US courts.
IBRC, the renamed Anglo, filed for the legal protection known as Chapter 15, in a bid to prevent $1bn of US assets being seized by creditors of the bank.
John Flynn, a US citizen who developed some of the Smithfield area in Dublin, is fighting the move because it would kill a legal action he has taken against the bank in New York over the alleged overcharging.
An examination of Mr Flynn's accounts showed €7.7m of overcharging, Mr Fitzpatrick said.
The loans were "subjected to both manual and automated deceitful procedures", Mr Fitzpatrick added.
John Flynn's objection is one of five so far against Anglo Irish Bank's petition for Chapter 15 protection.
The courts have put a 'stay' on all US cases against the bank while the Chapter 15 request is being considered.
The liquidators of the former Anglo Irish Bank had been defending the bank against the New York proceedings.