Oireachtas Joint and Select Committees

Wednesday, 17 June 2015

Committee of Inquiry into the Banking Crisis

Nexus Phase

Mr. David Doyle:

Sorry, just to finish on this. There was a mechanism envisaged in the draft legislation to ... to deal with the shareholder residual value and a process of assessment and determination and appeal and so on, and that's all in the legislation ... in the January legislation. But from ... from, as I said, from the middle of October on, Kevin and his team moved on to considering what are the real financial needs of Anglo. And the initial figure that was put on that was about a billion and a half. I recall the company asserting, throughout that last quarter, that a billion in extra capital will see them right and they were confident that major investors were going to supply that ... that equity. So when ... when the State did move in to nationalise, the quantification of the likely capital hadn't been determined. The Government nationalised to take Anglo off the agenda and to stand behind the banking system.

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