Results 10,501-10,520 of 27,945 for speaker:Michael McGrath
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Yes.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Okay. The issue of the promissory notes for Anglo Irish Bank. To what extent was the sovereign fully standing behind those promissory notes? Would they have had the same legal standing as sovereign bonds, for example? Can you just give us a legal perspective on the status of those promissory notes?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Okay. If, on the night of the guarantee, there was knowledge that ... that a bank had essentially failed and the decision was made to just let it go, in the absence of specific legislation, a bank would just then have been liquidated under the Companies Acts in the normal way.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Okay. And in that normal liquidation scenario then, senior bondholders and depositors would rank equally.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Okay. So just going back to that issue of special resolution legislation and, as you said, there are different types of resolutions and some resolution-type options were available on the night of the guarantee. But the scenario I want to raise is if ... if a decision had been reached that a bank had essentially failed and instead of having a disorderly wind-up of a bank ... just collapsing...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: So in the months leading up to September 2008, was any serious consideration given to having legislation in place for the orderly wind-down of a bank?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Okay. So you were never asked - just to clarify - to prepare any such legislation for ... for winding up a bank in an orderly fashion-----
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: -----and seeking to prioritise certain-----
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: -----creditors over others.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: That was not requested. So, we have heard in evidence over the last number of weeks that there were potential constitutional issues, that there were legal difficulties around the whole area of property rights and that that's why that option was not pursued.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Yes, types of resolutions.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: And just to clarify - the bailing in of subordinated bondholders, what legislation provided for that?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: 2010?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Yes. And, very finally, you said that the ECB had the power and the right to withdraw ELA support for the Irish banks. But when you saw the letter of 19 November 2010 to Minister Lenihan, when the ECB linked the continuation of ELA to the introduction of fiscal consolidation, structural reforms, financial sector restructuring, did you have any concern that in making that link between ELA...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Thank you.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (16 Jul 2015)
Michael McGrath: Thank you.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (22 Jul 2015)
Michael McGrath: Thank you very much, Chair. Mr. Begg and Mr. Dunne, you're very welcome. Mr. Begg, can I start with you and this is an issue Deputy Higgins did touch on. For most of your tenure on the Central Bank board, you were general secretary of congress. During this period, members of affiliated unions would have seen significant benefits from the economic boom. So, to what extent did your role in...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (22 Jul 2015)
Michael McGrath: Yes.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (22 Jul 2015)
Michael McGrath: Okay. Both of you have raised the issue of the change to the regulatory structure in 2003 and can I put this to you first, Mr. Dunne, given that you served on the board of IFSRA and also the overall Central Bank board as well? Do you accept the overall conclusion that Governor Honohan reached on that issue? He examined the institutional structure and the changes that were made and he said...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (22 Jul 2015)
Michael McGrath: Okay. Mr. Begg, do you want to offer a view on it? You've dealt with it in your witness statement as well.