Banking Inquiry to hear from Mary O’Dea, Cyril Roux and Thomas O’Connell

09/06/2015

The Oireachtas Banking Inquiry will continue hearings on the role of the Central Bank and Financial Regulator tomorrow, Wednesday, 10th June 2015 when it will hear from Mary O’Dea, Cyril Roux and Thomas O’Connell.

The schedule for the meeting in Committee Room 1 is:

Session 1: 9.30 am – 11.15 am
Mary O’Dea, Central Bank/IFSRA

Session 2: 11.15 am – 1 pm
Cyril Roux, Deputy Governor (Financial Regulation) Central Bank

Session 3: 2.30 pm – 6 pm
Tom O’Connell, former Assistant Director General (Chief Economist) Central Bank

Chairman Ciaran Lynch TD said: “Tomorrow we will resume our hearings on the role of the Central Bank and Financial Regulator when we will hear from Mary O’Dea, Cyril Roux, Central and Thomas O’Connell.

“Mary O’Dea joined the Central Bank in 1987. She was the Financial Regulator’s Consumer Director from 2003 to July 2011 and sat on the board during this period. From February 2009 to January 2010 she was Acting Chief Executive of the Financial Regulator, having stepped in when Patrick Neary retired. Among the issues we will be addressing with Mary O’Dea relating to her role as Acting Chief Executive of the Financial Regulator are: the appropriateness of the regulatory regime; the composition, skills, experience and number of resources at the Central Bank, Financial Regulator and Department of Finance; the effectiveness of the use of supervisory powers; and the adequacy of the assessment and communication of both solvency and liquidity risks in the banking institutions and sector.

“Other lines of inquiry include: the awareness and clarity of roles and accountability amongst the regulatory and supervisory institutions of the state; the nature and appropriateness of the relationship between the Central Bank including the Financial Regulator, the Department of Finance and the banking institutions; the effectiveness of the communication between the Central Bank and the Department of Finance; an analysis and consideration of the response to contrarian views; the adequacy and impact of international organisations’ oversight on banking regulation and supervision activity; the quality and effectiveness of European policies and regulations; an assessment of what has been done, work-in-progress and what remains outstanding from the recommendations of previous reports; and an assessment of whether further changes are required.

“Cyril Roux was appointed to the position of Deputy Governor (Financial Regulation) of the Central Bank on 1 October 2013. Among the issues we will be addressing with Mr Roux are: the composition, skills and experience of the board and board subcommittees; the integrity of financial reporting; Basel III and the impact on capital and liquidity of Irish banks; Banking Union; the role and influence of the ECB; the appropriateness of the regulatory regime; the effectiveness and appropriateness of the supervision policy and powers; and the effectiveness of the use of supervisory powers;

“We will also discuss the adequacy of the assessment and communication of both solvency and liquidity risks in the banking institutions and sector; the awareness and clarity of roles and accountability amongst the regulatory and supervisory institutions of the state; the nature and appropriateness of the relationship between the Central Bank including the Financial Regulator, the Department of Finance and the banking institutions; the effectiveness of the communication between the Central Bank and the Department of Finance; the appropriateness of the expert advice sought, quality of analysis of the advice and how effectively this advice was used; the impact of the reliance placed upon information and reporting from statutory auditors of the banks; the adequacy and impact of international organisations’ oversight on banking regulation and supervision activity; the quality and effectiveness of European policies and regulations; the assessment of what has been done, work-in-progress and what remains outstanding from the recommendations of previous reports; and an assessment of whether further changes are required.”

“Tom O’Connell joined the Central Bank of Ireland in 1970 as an economist. He was appointed Assistant Director General of the Economics Division in April 2005. As Chief Economist his responsibilities were: Economic Analysis, Research and Publications, Monetary Policy and Financial Stability, Statistics. He retired in 2010.

“Mr O’Connell will be questioned on a number of lines of inquiry relating to his role as Assistant Director General and Senior Economist, including: the appropriateness of the macro-economic and prudential policy; the composition, skills, experience and number of resources at the Central Bank, Financial Regulator and Department of Finance; the nature and effectiveness of the operational implementation of the macro-economic and prudential policy; the awareness and clarity of roles and accountability amongst the regulatory and supervisory institutions of the state; the nature and appropriateness of the relationship between the Central Bank including the Financial Regulator, the Department of Finance and the banking institutions; the effectiveness of the communication between the Central Bank and the Department of Finance; the appropriateness of the expert advice sought, quality of analysis of the advice and how effectively this advice was used; an analysis and consideration of the response to contrarian views (internal and external); and the adequacy and impact of international organisations’ oversight on banking regulation and supervision activity.

“He will also be asked to give evidence on the role, responsibilities and objectives of the Domestic Standing Group (DSG); the adequacy of the DSG process, including a consideration of the bank resolution legislation; and interest rate risk appetite setting and monitoring.”

Further information on the Oireachtas Banking Inquiry can be accessed on this website.

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All media enquiries in relation to the Oireachtas Banking Inquiry should be addressed to:

Ciaran Brennan,
Houses of the Oireachtas,
Communications Unit,
Leinster House,
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All general enquiries should be directed to the Committee Secretariat.

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Committee Membership

Deputies

Ciarán Lynch (Chairman)
Pearse Doherty
Joe Higgins
Michael McGrath
Eoghan Murphy
Kieran O’Donnell
John Paul Phelan

Senators

Sean D Barrett
Michael D’Arcy
Marc MacSharry
Susan O’Keeffe