Séamus Healy (Tipperary South, Workers and Unemployed Action Group) | Oireachtas source

In April 2013, on Bloomberg TV, Wilbur Ross, the American vulture capitalist, described Bank of Ireland as his best investment anywhere in the world during the financial crisis. In July 2011 the Government sold State shares in Bank of Ireland to a consortium of North American vulture capitalists for €1.123 billion. The effect of the sale is that the State now owns 15% of Bank of Ireland's shares at a net cost of €4 billion, while these vulture capitalists own 37% at a cost of €1.123 billion. The fire sale of Bank of Ireland shares has handed Wilbur Ross and his wealthy associates a capital gain of €2 billion. No wonder he was celebrating on television. They are onto a sure winner in the future. The value of Bank of Ireland is determined by Government support, including the bailout. Crucially, Government policy designates Bank of Ireland as a pillar bank. The lack of competition in the market, with ACC and Danske Bank recently having left and the future of Ulster Bank up in the air, and guaranteed Government support through pillar status are a shareholder's dream. The pillar banks are now free to rip off customers, small businesses and distressed mortgage holders. In today's Irish Independent Charlie Weston tells us that the introduction of, and increase in, bank fees and charges will take a further €260 a year from families and €270 million out of household finances in the economy. This is the same bank that is sending letters to distressed mortgage holders, giving them the options of voluntary sale, voluntary repossession or eviction. It is absolutely disgraceful. Is the Government not ashamed of its role in allowing the people to be blatantly ripped off by Bank of Ireland, Wilbur Ross and his associates? If Bank of Ireland fails the ECB stress tests next year, will Wilbur Ross and his friends be forced to recapitalise the bank or will the people be forced to do the same as they have done in the past? Does the Tánaiste agree that the only solution that will protect the citizens of the country when recapitalisation is required is nationalisation?

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