The Oireachtas Banking Inquiry will continue its hearings tomorrow when it will meet with John Corrigan, Pat Farrell and Dermot McCarthy tomorrow, Wednesday, 15th July.
The schedule for the meeting in Committee Room 1, Leinster House is:
Session 1: 9.30 a.m. – 11.15 a.m.
John Corrigan, former CEO, NTMA
Session 2: 11.30 a.m. – 1.15 p.m.
Pat Farrell, former CEO, Irish Banking Federation
Session 3: 2.30 p.m. – 6 p.m.
Dermot McCarthy, former Secretary General, Department of the Taoiseach and Secretary General to the Government
Chairman Ciaran Lynch TD said: “At our first session tomorrow morning, we will focus again on the role of the National Treasury Management Agency during the crisis and we will hear from John Corrigan, former CEO of the NTMA. John Corrigan Joined the NTMA in June 1991 as a Director in the Funding and Debt Management Unit. In 2001 he was assigned responsibility in the NTMA for the National Pensions Reserve Fund. He was appointed NTMA CEO in December 2009 and retired in January 2015.
“Mr Corrigan will be asked to give evidence on a number of lines of inquiry including: the decision to nationalise Anglo in 2009 and a review of the alternatives available and/or considered; the establishment, operation and effectiveness of NAMA; the decision to recapitalise Anglo, AIB, Bank of Ireland, EBS, Permanent TSB and the alternatives available and/or considered; the Credit Institutions Stabilisation Act (2010) and the effectiveness of the actions to merge AIB and EBS, Anglo and INBS and deposit transfers; the EU/ IMF)/ECB programme of assistance; and the liquidation of Irish Banking Resolution Company, the promissory notes refinancing and the relationships with the ECB.
“At our next session tomorrow we will hear from Pat Farrell, former CEO of the Irish Banking Federation. Pat Farrell was CEO of the Irish Banking Federation and the Federation of International Banks in Ireland from January 2004 to June 2013. He is currently Head of Group Communications and Government Affairs at Bank of Ireland.
“Among the issues we will address with Mr Farrell are: the composition, skills and experience of the board and board subcommittees of the banks; the quality of the business model setting process; an analysis of risk concentrations in the base, the adverse economic scenarios and the impact on capital structure; and the appropriateness of funding sources including the mix, maturity profile and cost; an analysis of liquidity risks under adverse scenarios.
“He will also be questioned on: the appropriateness of the regulatory regime; the effectiveness and appropriateness of the supervision policy and powers; the appropriateness of the macro-economic and prudential policy; the composition, skills, experience and number of resources at the Central Bank, Financial Regulator and the Department of Finance; the effectiveness of the use of supervisory powers; the adequacy of the assessment and communication of both solvency and liquidity risks in the banking institutions and sector; the nature and appropriateness of the relationship between the Central Bank including the Financial Regulator, the Department of Finance and the banking institutions; 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 both internal and external; an analysis of the key drivers for budget policy; and the appropriateness of the relationships between Government, the Oireachtas, the banking sector and the property sector.
“Other areas of interest to the Committee are: the liquidity versus solvency debate; an appraisal of the conditions prior to increasing the Deposit Guarantee Scheme; the appropriateness of the bank guarantee decision; the decision to nationalise Anglo in 2009 and a review of the alternatives available and/or considered; the decision to recapitalise Anglo, AIB, Bank of Ireland, EBS, Permanent TSB and the alternatives available and/or considered; and the EU/ IMF/ECB programme of assistance.
“At our final session tomorrow afternoon we will hear from Dermot McCarthy, former Secretary General at the Department of the Taoiseach and Secretary General to the Government. Dermot McCarthy joined the Irish Civil Service shortly after graduating from College and served in the Department of Industry and Commerce and at the Department of Health where he rose to the level of Assistant Secretary General. He was appointed secretary to the government in January 2000 and combined that role with Secretary-General at the Department of the Taoiseach in July 2001. He retired in July 2011.
“Among the lines of inquiry the Committee will address with Mr McCarthy are: the appropriateness of the bank guarantee decision; the EU/ IMF/ECB programme of assistance; the role and influence of the ECB; the options for burden sharing during the period 2008-2013; the role of the euro zone and international partners in this decision; the appropriateness of the regulatory regime; the appropriateness of the macro-economic and prudential policy; and the nature and effectiveness of the operational implementation of the macro-economic and prudential policy.
“Mr McCarthy will also be questioned on 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, both internal and external; the effectiveness of the Oireachtas in scrutinising public policy on the banking sector and the economy; the appropriateness of the advice from the Department of Finance to Government and the use thereof by Government; the appropriateness of the relationships between Government, the Oireachtas, the banking sector and the property sector; 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.”
Further information on the Oireachtas Banking Inquiry can be accessed on this website. Full committee proceedings will be webcast live on this website. Committee proceedings can also be viewed on the move, through the Houses of the Oireachtas Smartphone App, available for Apple and Android devices.
All media enquiries in relation to the Oireachtas Banking Inquiry should be addressed to:
Houses of the Oireachtas,
P: +3531 618 3903
F: +3531 618 4551
All general enquiries should be directed to the Committee Secretariat.
t. +353 1 618 3651
Ciarán Lynch (Chairman)
John Paul Phelan
Sean D Barrett