Maureen O'Sullivan (Dublin Central, Independent)
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17. To ask the Minister for Foreign Affairs and Trade in view of improving relations between the US and Cuba, and in view of Ireland signing a memorandum of understanding with Cuba, if progress can be expected in relation to the banking difficulties of Irish friendship groups with Cuba with Irish bank accounts in this country. [19333/15]

Maureen O'Sullivan (Dublin Central, Independent)
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In view of the improving relations between America and Cuba and Ireland's signing a memorandum of understanding with Cuba, can we expect progress regarding the banking difficulties in this country with the Irish bank accounts of Irish friendship groups with Cuba?

Charles Flanagan (Laois-Offaly, Fine Gael)
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The Secretary General of my Department, Mr. Burgess, visited Havana for talks last month and, as noted, signed a memorandum on the establishment of a mechanism for political consultations. This will provide a useful structure for official level dialogue on international issues in the future.

I warmly welcome the historic decision by President Obama and by President Castro on the restoration of bilateral diplomatic relations and subsequent developments. Ireland’s concerns regarding the embargo are long standing and clear and were set out most recently on 28 October last year in our support for the relevant resolution at the UN General Assembly. We are firmly of the view that the lifting of the embargo would facilitate an opening of Cuba’s economy to the benefit of its people. We have stated our strong opposition to the extraterritorial application of the legislation giving effect to the embargo.

The banking difficulties referred to in the Deputy’s question were addressed by my colleague, the Minister for Finance, Deputy Noonan, in reply to a question on 14 November last year and by me in a reply on 26 November. My officials raised the difficulties that have emerged, in so far as the extraterritorial application of US legislation is relevant, with the US side. In response, the US has noted the concerns of banks everywhere to reduce risk in the face of heightened financial regulation and oversight. The US states that the US Government does not direct financial institutions to maintain particular financial relationships and recommends contact by relevant parties with the US Department of the Treasury’s office of foreign asset control for information regarding Cuba related transactions.

The historic developments of recent months have seen immense progress in US-Cuba relations. We look forward to the ending of the embargo with the removal of all remaining inhibitions to trade and contact with Cuba. I acknowledge Deputy O'Sullivan's interest in this matter and I hope that we can report progress over the course of this year. I also acknowledge the interest of the Acting Chairman in these important issues.

Maureen O'Sullivan (Dublin Central, Independent)
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The memorandum of understanding has been long awaited and is very welcome. I noted that the Secretary General said it was an honour to be present on that occasion. He also spoke about friendship and future trade. However, at the same time it must have been embarrassing for him that Irish banks have closed the accounts of Irish friendship groups because the word "Cuba" was in the title. That is the bottom line. It is also embarrassing for us, as a supposedly sovereign country that has power over its own activities, that this continues for Irish people and Irish friendship groups. We are not talking about vast amounts of money, just small amounts. However, those accounts were closed at the behest of Bank of Ireland arising from a directive from American institutions. Has the Minister had any conversation with the American ambassador, for example, about this issue? It is detrimental to relations between Ireland and Cuba and it shows disrespect to the Cuban people.

Charles Flanagan (Laois-Offaly, Fine Gael)
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Officials in my Department have consulted widely with other Departments on this issue and also with the Central Bank. In so far as the issue of extraterritorial application of US law is appropriate, we raised the matter in political consultations with the United States and we restated our position. I recognise the limitations on what the US Federal Government can do in this matter, given the strict separation of powers between the executive and legislature in its system. However, I do not believe President Obama can be faulted. He has made a robust effort to tackle this long-standing issue, and the steps he has taken so far must be acknowledged fully.

The extraterritorial legislation in question is congressional legislation, in particular the Cuban Democracy Act of 1992 and the Helms-Burton Act of 1996. I welcome President Obama's willingness to engage with the US Congress in this matter and to the lifting of the legislation in question. The information provided by the US has been forwarded to the Minister, Deputy Noonan, in the Department of Finance and to the Central Bank for further consideration of how we might proceed further.

Maureen O'Sullivan (Dublin Central, Independent)
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Apart from those business-type accounts, there was also a personal account recently of an Irish couple who were told they could not transfer money from one branch of Bank of Ireland to another because the word "Cuba" was in the transfer. There are implications here. What about our democracy? We have a right to have a bank account and to use whatever words we like in that context. Is the Minister expecting a positive outcome from the answer he gave me? I would also like to know whether there are any plans for an official visit from our Government to Cuba. Alternatively, an official invitation might be extended to the Cuban Government to visit Ireland in the near future.

Charles Flanagan (Laois-Offaly, Fine Gael)
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I would like to make it clear that the Irish Government is opposed to the extraterritorial application of the US legislation in question. We have asserted this on numerous occasions and we will continue to do so. We have already raised the current issues directly with the US. A decision by the US Congress to lift the embargo would of course be welcomed by Ireland. While we do not envisage that we will intervene directly in the debate, we have made our position clear in bilateral contacts with the US Government and we will continue to do so.

Olivia Mitchell (Dublin South, Fine Gael)
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As Deputy Paul Murphy is not present, we will proceed to Question No. 19.