Ciarán Lynch (Cork South Central, Labour) | Oireachtas source

When Mr. Daly was before the inquiry a number of weeks ago, I can pull up his speech and all the rest of it, but just a general summary of what he was making. This is the CEO of NAMA, the biggest real estate agency in the world or asset management agency on the planet. What he was saying is that the model was simply like this, is that a developer or builder would come along, they would get a loan from an institution to develop a project, equity would grow in that project during its lifetime, the builder would go for another loan and because of the equity that was in the existing or the previous loan was providing equity to the new loan, there were 100% loans being more or less given out, because of this notional equity that was inside there. The compound outcome of this practice, of loan upon loan, upon equity growing in the previous loan, upon the previous loan, was this not the inevitable outcome of it?