Enda Kenny (Mayo, Fine Gael)

Dá bhféadfainn rud éigin a dhéanamh faoi seo, dhéanfainn láithreach é. I would also like to get back the moneys that disappeared in other situations.

The Minister for Finance, Deputy Noonan, has responded to the publication of the Nyberg report. First, it is being brought into the House tomorrow for debate by Members. In addition, the Government has decided to take a number of actions to ensure nothing like this can happen on our watch. We are seeking to enhance the capacity of bank boards and management. The report is highly critical of the role played by board members and senior management of banks in failing properly to oversee the institutions. The chairman of each institution will in future be asked to provide the Minister for Finance and the NTMA with a board renewal plan which must have regard to company law and regulatory requirements and which will set out, for each institution, the steps to be taken to ensure the skills and competency level of board members are fully adequate to the demands of the current situation and the planned future of the Irish banking system. In that regard, a programme of rotation of board members, commencing with those board members appointed before September 2008, will be expected to be part of that plan. This will apply to both executive and non-executive board members and provides a process to ensure a smooth succession of incumbent board members who were in place before September 2008. The Minister expects the succession to be substantially completed by early 2012 and will use his powers as a shareholder to effect such changes as are necessary.

Second, the board of each institution will be asked to provide the Minister for Finance and the NTMA with a management renewal plan. That renewal plan will set out for the relevant institution the steps to be taken to ensure the skills and competency levels of senior managers are fully adequate to the demands of the current position and the planned future. Third, the Minister makes the point that it is essential for the boards of banks to continue to have some independent, non-executive directors. Having regard to the size of its shareholding in each institution and the necessity of ensuring the State's interest is properly represented on each board, the Minister will actively nominate members of the board of each bank from qualified individuals with appropriate skills and experience.

The Deputy should note that the Government wants Members of the Oireachtas to be in a position to investigate the facts of what happened in those cases arising from the Nyberg and other reports. However, the clarity of the advice given to the Government by the Attorney General means I have no intention of going down a road in which the Oireachtas literally would be laughed out of court by attempting to pursue something that it cannot do because of the inadequacy of its powers. This has been pointed out clearly by the Attorney General. Consequently the Government decided this morning that a referendum should be held to deal with the consequences of the Abbeylara case.

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