Oireachtas Joint and Select Committees

Wednesday, 20 May 2015

Committee of Inquiry into the Banking Crisis

Nexus Phase

Mr. John McDonnell:

I personally didn't because I only came on in 2010, but I am conscious of the reporting that we gave to the bank. We would have discussed, as I said earlier, discussed the bank's business strategy only in the context of impairment of loans in the context of our audit work, so I'm not surprised that we wouldn't have had a detailed discussion about the bank's strategy to lending, because the bank's strategy of lending is for the role of management, the role of directors. Our role is bounded by the risk of material misstatement in the financial statements, and we would've had detailed conversations with the audit committee around the impact of their lending on their impairment and the controls over impairment, and that's where the focus of our work was. I can't discuss as to what the audit committee would've said to the court or not.

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