Joe Higgins (Dublin West, Socialist Party) | Oireachtas source

Ms Nolan, on page 4 of your opening statement, you say:: "The State received shareholdings in the banks in return for its capital and for the continuing banks this investment can be recovered over time by selling the shareholdings." And you go on to say that the long-term losses essentially arise from INBS and Anglo. Can I query and interrogate that somewhat with you for a minute or two? In regard to Allied Irish Banks, the general figure that is put out there is that €21 billion of State funds went in. I would say that has to be added to by the following: NAMA witnesses said to the inquiry that the banks were overpaid for loans transferred to NAMA from them by €10 billion. That was the evidence from NAMA chief executive and chair. If we allocate the Allied Irish Bank proportion of that, it would be €2.8 billion, so I say if you add that to the €21 billion, you get €23.8 billion. the merger with the EBS gives a further €777 million in a, kind of, a hidden recapitalisation to AIB and then there's a further transfer, in February 2011, of €1.6 billion or €1.7 billion of Anglo NAMA bonds and deposits. Now that brings the cost, arguably, to €26 billion. Can I ask you how do you see such costs, between €21 billion and €26 billion, being recovered for the taxpayer, as you suggest?