Results 23,381-23,400 of 35,959 for speaker:Pearse Doherty
- Committee of Inquiry into the Banking Crisis: Nexus Phase (2 Sep 2015)
Pearse Doherty: What explanation did you receive?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Go raibh maith agat a Chathaoirligh agus fáilte, Mr. Drury. Can I begin maybe if we can get Vol. 1, page 15, of the books drawn up.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: It'll be come up on your screen and I'll reference it anyway. It's the PAC report in July 2012 on the crisis into the domestic banking sector, and it noted, this is the quote, it says: Anglo had poor governance structures and procedures and risk controls during its period of high growth. Weaknesses in these areas were identified by auditors and regulators in 2003, 2006 and 2008. It goes...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Which one is accurate?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Which one is accurate? Did the regulator point out all of these deficiencies in 2003, 2006 and 2008?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Okay. Were you satisfied as director of the bank, that as director of the bank you were provided with all the necessary information, and in particular, financial information necessary to fulfil your fiduciary responsibilities? Did you ever, ever have any concerns over the accuracy or timeliness of this information?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Okay.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Okay ... if we can go, look at Vol. 1, page 51, this is Anglo's annual report for 2007 and it shows over the period 2002-2007, profit before tax increased by 376%, earnings per share by 363% and total assets by 398%. The graphs speak for themselves in terms of the rapid rise of Anglo in those three areas. Do you think that these levels of growth were prudent or sustainable, in the context...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: But the question isn't about ... we know that the bank grew-----
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: We know that the bank grew and we know that the bank stopped growing and rapidly went the other direction. The question is ... is in relation to the risk-----
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: -----is, were you blinded by the growth? And I mentioned, for example, the earnings per share increasing by 363% over that five-year period. Now, 90% of employees of Anglo Irish Bank were shareholders with the bank. Were individuals blinded by the rapid growth and the rapid growth in share prices and took additional risks as a result of that? Was it affecting credit quality? Was it...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Yes, that's not the question, sorry, Mr. Drury. The question really is: did the growth, and the pursuit of growth, by Anglo Irish Bank affect credit quality and lending standards, in your opinion?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: That's one part of it.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Okay, you believe lending standards weren't reduced as a result of that. As an independent non-executive director, did you ever have concerns over the levels of exceptions to credit policies as detailed in the monthly risk management reports? And we can see from page 57 of the core documents there in relation to the level of exceptions which were happening in the period of 2008 which were...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Yes okay, and during that time, in April 2008, it was 28%; the previous month it was 28%; the previous month it was 26%.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: These are exceptions to your own credit policy and which you were a member of that board. Did it raise concern to you as a member of that board, and as chairperson of that board?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Okay. Mr. Drury, were you aware of the concentration of lending at Anglo Irish Bank to a relatively small number of developers?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Yes but were you aware-----
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: -----of the concentration of lending to a small group of individuals? I think half the loan book went to, what, 20 individuals.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (30 Jul 2015)
Pearse Doherty: Okay. I'd like to refer to core booklet, Vol. 1, again, and it's page 97. These are the minutes of the risk and compliance meeting that was held on 24 May 2007. The issue being discussed is the suggested revision of Anglo's minimum capital ratio requirements. It says in the document: The committee reviewed and considered the proposal and in particular the key reasons for the Group's...