Friday 9 December 2016

Bank said 'no' to Anglo transaction, court hears

Declan Brennan

Published 20/02/2016 | 02:30

Photo: PA
Photo: PA

A global investment banking company rejected an invitation from Anglo Irish Bank to take part in a 'back-to-back' transaction to enhance the bank's year-end corporate-deposit figure, Dublin Circuit Criminal Court has heard.

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The trial of four senior bankers accused of conspiring to mislead investors heard that in September 2008, a bonds portfolio manager from Anglo put the option of an overnight transfer of funds to Credit Suisse.

In a phone call, Peter Geissel, who was senior portfolio manager for Anglo from 2006, told Jerome Henry from Credit Suisse: "We're basically looking to enhance the level of our corporate deposits for year end. We're looking at a straight corporate deposit from one of your entities or else a 'back-to-back'."

The jury heard the transcript of the call, in which Mr Geissel went on to explain that Anglo would places funds with a Credit Suisse banking entity and Anglo would then receive a deposit from a corporate entity.

Mr Geissel told Mr Henry the deposit had to come from a non-bank entity, "something like CSAM (Credit Suisse Asset Management)", any "entity along those lines" or "some other financial vehicles".

Mr Geissel told Mr Henry the bank would be happy to do it very 'short', adding: "Literally, ideally, a couple of days, but if necessary overnight." Mr Henry said Credit Suisse was not prepared to do such a deal.

Peter Fitzpatrick, Denis Casey, Willie McAteer and John Bowe all deny conspiring to mislead investors by using interbank loans to make Anglo appear €7.2bn more valuable than it was.

Irish Independent

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