Tuesday 20 March 2018

BoI chiefs told to tell gardai about 'insolvency' talk

Fionnan Sheahan

Fionnan Sheahan

FINANCE Minister Brian Lenihan last night challenged any Bank of Ireland executive with information that Anglo Irish Bank was insolvent to report it to the gardai.

The minister's ultimatum is viewed as a rebuttal to a claim earlier this week that Anglo chiefs told Bank of Ireland that their bank was facing insolvency and asked to be taken over two years ago.

Anglo allegedly made the request on the same day the Government met bank bosses to decide on the introduction of the blanket guarantee for financial institutions in September 2008.

The claim was revealed in an RTE 'Freefall' programme this week.

Mr Lenihan said it certainly wasn't brought to his attention that Anglo was facing insolvency rather than a liquidity problem.

"If such a comment was made to an executive of Bank of Ireland, they should immediately report it to An Garda Siochana," he said.

Mr Lenihan said the problem on the night of the guarantee was one of "scarcity of funds to the banking system".

Irish Independent

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