Sean Barrett (Independent) | Oireachtas source

Okay. Could I refer to ... there's a contrast, isn't there, I think, between what was called light-touch regulation but in fact, a fairly substantial level of adverse findings, over a long number of years, by the regulator where EBS is concerned. In Vol. 2, page 175, there is a letter, I think in 2003, pointing out this. And they go right up to 2008, so there seemed to be a period, a long period, where this was a problem. Page 175, I'll come to that one first, if I may. Thank you, Chairman. "The examination" ... and this one is from Dr. O'Reilly, who was the then regulator, it "raises questions about the maintenance of lending standards in your institution. ... a plan of remedial action addressing all of the issues [is due by the] end September".

And he wrote on 31 July:

We [...] request that the stated residential mortgage lending policy or institution should be reviewed and ratified by your Board at its next meeting. [The] policy should incorporate the guidance on prudent loan assessment given by the Central Bank in July 2001 [...]

So that's, you know, in a sector which has been described as light-touch, that's fairly hands-on, requiring you to do very definite things in regard to prudent lending, for example.