Sunday 17 November 2019

Three more weeks in custody for banker David Drumm

Ex-Anglo CEO David Drumm
Ex-Anglo CEO David Drumm
Shane Phelan

Shane Phelan

Banker David Drumm will spend at least a further three weeks in custody in the US before learning if he will be released on bail pending the outcome of extradition proceedings.

A lawyer for the former Anglo Irish Bank chief executive sought the postponement of a detention hearing scheduled for next Monday until November 13.

It is the second time the detention hearing has been postponed at the request of lawyer Tracy Miner.

Ms Miner today said she needed more time “to develop and obtain salient information”.

This will include speaking to lawyers in Ireland, she said.

It is thought the delay is also due, in part, to the hiring of two other lawyers by Mr Drumm earlier this week.

Daniel Fetterman and Edward McNally, from one of New York’s largest law firms, Kasowitz, Benson, Torres & Friedman, joined the defence team on Thursday.

Both previously worked as Assistant United States Attorneys, a role which involves the bringing of extradition cases on behalf of foreign governments.

Mr Drumm is facing 33 charges, including ones of fraud and false accounting, should he be extradited back the Ireland.

The banker has been in custody since being arrested by US Marshals at his $2m (€1.75m) home in Wellesley, near Boston, on October 10.

He spent the next three days in a holding cell at the local police station and since then has been held at the Donald W Wyatt Detention facility in Central Falls, Rhode Island, around 75kms south west of Boston.

The facility does not allow contact visits from family or friends, but detainees can freely meet their lawyers.

At a previous hearing, Mr Drumm appeared in court in ankle shackles and handcuffs, speaking only to acknowledge the judge.

His wife Lorraine was also present, but made no comment to media afterwards.

Mr Drumm, who has debts of over €10m, was denied bankruptcy protection earlier this year when a judge found he had lied about transfers of cash and other assets worth €1m to his wife.

The couple have been living in Massachusetts since 2009. Mr Drumm left Anglo in controversial circumstances the previous year.

He has refused a number of requests from gardai to return home for questioning.

Proposed charges against him relate to the manner in which loans were provided to the Maple 10 group of investors to buy shares in Anglo in 2008, his alleged failure to disclose businessman Sean Quinn’s stake in Anglo, and his alleged involvement in organising “back-to-back” loans allegedly designed to give a distorted view of Anglo’s balance sheet.

Mr Drumm has claimed he cannot get a fair trial in Ireland due to publicity he had received. Ms Miner has also questioned whether extradition request was “for a political purpose”.

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