Mr. Brendan McDonagh:

In reality, the NAMA board has to take a commercial view and determine how best to maximise the return on any portfolio. One could take the view that we should get rid of every single debtor, appoint a slew of receivers and get them to manage the assets but we do not believe that is the best way to work. Sometimes we have to cough hard and accept that the best approach is to work with debtors on a consensual basis and help them to realise the maximum value of the assets. We must make sure they have given up all of their personal assets and then, in return for working with us over a period of time, we may enter into a commercial deal with them to the effect that once all of the assets are sold and there is nothing left, the difference is written off. The reality is that this is not inconsistent with the personal insolvency legislation under which a debtor can declare bankruptcy, which some of our debtors have done, and effectively all one is left with then is the charge over the assets and there is no further recourse to the individual concerned. Of course, there are also debtors in our portfolio who have borrowed through special purpose vehicles and therefore we have no personal recourse. All we have is recourse to their assets.