Monday 24 June 2019

Ex-Anglo chief Drumm's application shows he's bound for US


FORMER Chief Executive of Anglo Irish Bank David Drumm has confirmed his intention to settle in the United States, according to documents filed with authorities there.

Mr Drumm -- who resigned from his position at Anglo Irish Bank in the wake of the controversy over €87m in covert loans taken by the bank's chairman Sean FitzPatrick -- has lodged a declaration of homestead with the Massachusetts Land Registry, the Sunday Independent has learned.

According to Massachusetts state law, such a declaration technically protects the homeowner from creditors' efforts to recover debts in the event of a forced sale. This type of declaration is a standard legal procedure in Massachusetts.

As such, there would have been nothing unusual about Mr Drumm filing it in theMassachusetts land registry. In Mr Drumm's case, the declaration of homestead is more notable for its confirmation of the property being the principal private residence of the applicant. Mr Drumm's declaration of homestead relates to his 4,800 square foot house in the picturesque Stage Neck area of Cape Cod, overlooking Nantucket Sound and the Oyster River, should be covered.

The former Anglo man purchased the house for $4.6m in March of last year with the assistance of two separate mortgages for $1m apiece, according to official records of the transaction.

Mr Drumm's intentions to move Stateside on a permanent basis were backed up last July with his decision to put his palatial home in the Dublin suburb of Malahide on the market for €2.79m in the face of the property market downturn.

It is understood that the erstwhile Anglo Irish Bank chief is attempting to forge a new career in the financial services industry in the New England area.

Here at home, meanwhile, it remains to be seen whether or not Mr Drumm will receive compensation from the loss of his job at the now-nationalised Anglo Irish Bank.

Indeed, only last January Finance Minister Brian Lenihan acknowledged that Anglo directors who lost their positions would "retain their right to pursue compensation for loss of office".

Mr Lenihan added that while it would be wrong to prevent such claims, they "will be defended as appropriate".

Mr Drumm and Anglo's former finance director Willie McAteer have outstanding deferred bonus payments awarded in 2006, which were due for repayment in December 2008.

Anglo's new board is understood to be taking legal advice about whether the money should be paid.

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