Results 10,741-10,760 of 27,945 for speaker:Michael McGrath
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: -----of Vol. 2.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Yes. And there's some more information on the following pages, 107-111. So essentially this was a decision by the board to increase the lending lines to the other covered banks and it's in the aftermath of the Government decision on the bank guarantee. And it seems to be to facilitate lending to each other, as such, you could buy bonds back and forth. So to what extent in your opinion did...
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay. Can I take you to, just on page 2 of your statement so on the system - it's 004, if that could be opened? It's under the heading of the "Adequacy of board oversight over internal controls, managed and monitored". And you refer to an instance where an employee in the treasury department of EBS had illicitly engaged in proprietary trading, strictly against the rules of the society....
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay, and can you just explain what happened? What do you mean by "illicitly engaged in proprietary trading"? Can you just tell us what that is?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: And did it go to board level then?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay. And the loss to the society was €1.2 million?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: And what were the repercussions from that episode? What happened?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Nothing?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: €1.2 million lost by-----
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: -----illicit trading against the rules of the society and nothing happened?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: And was the individual sanctioned?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: And how was that acceptable to the board?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay. And just to clarify the nature of what happened, it was trading, essentially, the deposit book or part of the deposit book was traded on, on some financial instruments?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: You don't know the detail?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay. And was it a breach of regulatory rules as well as a breach of the building society rules?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay, and are you saying that ... prohibited by internal rules? Or was it ever enshrined in regulations?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Well then surely it was a matter that must have been reported to the regulatory authorities. If it was a breach of legislation then the Central Bank and regulator would have been responsible for dealing with that, surely.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: Okay. Chairman I think we might examine the board minutes as a committee around that time to see how the issue was being addressed. We'll deal with that separately. Ms. Tinney, you wrote to the members of the society directly in March 2007. That was a time when the board was trying to remove you, as such. Was that the first time that you wrote directly to the members?
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: It was.
- Committee of Inquiry into the Banking Crisis: Nexus Phase (29 Jul 2015)
Michael McGrath: So how did you do it? It was by post?