Mairead Farrell (Galway West, Sinn Fein) | Oireachtas source

Gabhaim míle buíochas leis an Dr. Stewart as teacht os comhair an choiste seo. I thank Dr. Stewart for coming before the committee. I know this is something he has been focused on for quite some time. It really came into the spotlight in the wake of the Russian invasion of Ukraine. There was then a lot of talk of financial and economic sanctions and, as a result, the spotlight was turned on the role of the International Financial Services Centre, IFSC, as one of the main finance hubs for Russian State-owned and oligarch-controlled companies. It is thanks to Dr. Stewart's work that we are fully aware of this situation so I really thank him for coming before the committee. The collapse of the Soviet Union resulted in a lot of capital flight and offshore financial centres such as the IFSC were absolutely key to this. Some estimates suggest that approximately 50% of Russian wealth is held offshore.

I have a number of questions. In 2018, The Sunday Business Postcarried a story on its front page that cited Dr. Stewart's research. It noted how Russian-connected companies funnelled billions through the IFSC. Following this, the former deputy governor of the Central Bank, Stefan Gerlach, said Irish politicians were "mindlessly in favour" of the growth of the IFSC. He went on to say that they did not recognise the risks involved in the facilitation of massive influxes of cash to companies such as Russian banks and oil giants.

He also said they were much too positive about the benefits of the IFSC, such as employment for lawyers and accountants. Does Dr. Stewart share this view and, if so, is that mentality out of step with the efforts currently being undertaken at European level like the forthcoming EU shell company directive?