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Major dispute as former boss wants access to secret paper

THERE will be a major dispute in an action by Anglo Irish Bank for some €50m of judgment orders against its former head of lending Tom Browne, the Commercial Court heard yesterday.

The action concerns what Mr Browne knew about the stake built up by Sean Quinn in the bank.

Mr Browne wants to see a document over which Anglo claims legal privilege because he believes that document may support his claim Anglo directors withheld information from him related to Contract for Difference (CfD) positions built up by Mr Quinn in Anglo.

Mr Browne, head of lending at Anglo between 2005 and 2007, claims he has no liability on grounds including, when the loans were provided to him, the bank was allegedly aware the interest acquired by Mr Quinn in the bank was such as to undermine its stability and to render his shareholding valueless.

Had he known of such matters, he would never have exercised his share options in 2007 or held on to shares which became "worthless", he claims.

The case has been adjourned to next month.

Tim Healy

Indo Business