Fresh file sent to DPP over Anglo loans
Published 30/09/2011 | 05:00
ANOTHER file has been sent to the Director of Public Prosecutions (DPP) in connection with the mammoth investigation into suspected financial irregularities at Anglo Irish Bank.
The latest file relates to the suspected failure of Anglo to maintain a register of loans and other transactions between the bank and its directors and associated persons.
It was compiled by staff at the Office of the Director of Corporate Enforcement (ODCE) and is currently being studied by the DPP.
ODCE director Paul Appleby disclosed last night that the file had been submitted last month, in line with an assurance that had been given to the High Court in July.
During an address to the Irish Company Secretaries Group, Mr Appleby said the file related to pre-2009 periods and a decision from the DPP on this suspected offence would follow.
He said good progress continued to be made with the Anglo investigations and further papers would be sent to the DPP in the coming months.
Under section 44 of the Companies Act, 1990, a bank must maintain a register containing details of loans or other transactions between it and its directors and any similar transactions with persons connected with the directors, where a transaction had been granted on favourable terms and/or otherwise in the ordinary course of business.
The ODCE has already submitted two other files to the DPP.
One deals with Anglo lending to various clients to purchase its own shares, which is a potential offence under section 60 of the Companies Act, 1963.
The second relates to the provision by Anglo of a loan to a former director of the bank in circumstances, which might be contrary to common law and section 297 of the Companies Act, 1963.
The garda fraud bureau has also submitted files to the DPP arising out of its inquiries into suspected criminal offences at Anglo.
Another comprehensive submission is expected to be made by the gardai next month after a number of high-profile players, including the former Anglo chairman, Sean FitzPatrick, have been interviewed again by detectives.
Gardai have had to press ahead without the co-operation of former Anglo chief executive, David Drumm, who ignored requests to come back from the United States for interview.
Also under investigation is a "back-to-back" deposit arrangement undertaken between Anglo and Irish Life and Permanent for the benefit of Anglo at the end of its financial year in 2008.
This allowed money to be moved back and forth between the two institutions, boosting the apparent state of Anglo's financial wealth.