Professor Eamonn Walsh:

Again, I am not a bank auditor so I cannot say whether it is unusual or not. My reading from Nyberg was very much that quarterly statements were going to the regulator, so the regulator was receiving this information anyhow. The auditors were probably assuming that the regulator was receiving this information. They would have seen the reports that were issued by the bank to the regulator - one would imagine - and would assume that it was largely known that these limits had been breached. The Nyberg report is very helpful in this regard with its diagram illustrating how much of the lending was taking place outside of these limits versus how much was within the limits. That diagram is very useful in showing the extent to which there seemed to be an absence of control with respect to those limits.