Thursday 23 May 2019

Central Bank scrutiny prompted 40 to pull job applications

Paschal Donohoe
Paschal Donohoe

Colm Kelpie

Forty people have withdrawn their applications for senior financial services jobs since 2011 after being challenged by the Central Bank.

Five cases involved top positions in the banking sector.

The Central Bank challenges to the applications were done under the regulator's so-called 'fitness and probity' gatekeeper role, which has been in place since 2011.

Under the 2010 Central Bank Reform Act, the Central Bank has the power to refuse to approve the appointment of individuals to certain senior roles where there are concerns in relation to the individual's fitness and/or probity.

"As part of the Central Bank's gatekeeper role which again has been in place since 2011, 40 individuals who had applied to take up senior positions within financial services firms withdrew their applications following robust challenge by the Central Bank, which in many cases involved one or more challenge interviews with that individual," said Finance Minister Paschal Donohoe.

"These withdrawals span all sectors and five have involved individuals withdrawing their applications for senior positions in banks."

Minister Donohoe also revealed that under the Central Bank's Fitness and Probity regime four individuals have been banned from working in regulated firms, including two employed in credit unions.

The Fitness and Probity regime is used to vet anyone taking a senior job in a bank, insurer or other financial service provider. Slightly different rules apply for credit unions.

The system involves the Central Bank actively assessing the skills, suitability and track records of anyone before they take a senior job. The Central Bank has said in the past that applicants tend to withdraw from the process when issues and questions are raised.

Mr Donohoe also revealed that under the Central Bank's Administrative Sanctions Procedure, which has been in place since 2006, 12 people have been disqualified from performing senior management roles in regulated firms.

The data was obtained by in response to a parliamentary question from Sinn Féin finance spokesman Pearse Doherty.

Irish Independent

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