Results 15,921-15,940 of 16,537 for speaker:Brian Lenihan Jnr

Seanad: Credit Institutions (Stabilisation) Bill 2010: Second Stage (16 Dec 2010)

Brian Lenihan Jnr: The Government statement on 28 November announcing the EU-IMF programme for Ireland included as part of the bank recapitalisation and restructuring measures the commitment to prepare specific legislation to support immediate restructuring actions. This legislation has now been published as the Credit Institutions (Stabilisation) Bill and received Dáil approval last night. I can appreciate...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Second Stage (16 Dec 2010)

Brian Lenihan Jnr: The shareholders can be overruled in this legislation.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: With regard to the phrase "and restoration of" in section 4(c) which Senator Donohoe wishes to have deleted, the purpose of the legislation is to try to ensure a High Court order under the Bill will be recognised as a reorganisation measure under the terms of the relevant European Union legal instrument. Therefore, orders should be expressed as being made with the intention of preserving or...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: I am advised that the object is the restoration of the financial position of the institution, not the institution itself. We would all like to see the financial position of the banks restored in that sense. This is a legal issue. I am advised that it is prudent, if we wish to have these orders recognised in other European countries, to have exact correspondence between the phrase used in...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: We have not.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: No, but I will reply in one minute.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: I know where to start. When Sweden had a banking crisis, the parties there agreed to resolve it together. We never achieved that measure of agreement.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: We initially achieved agreement on the guarantee.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: I listened to the Senator and I am entitled to reply. The agreement on the guarantee was welcome but thereafter we decided to quarrel and turn it into a political football. The Senator's party specifically decided to raise the issue of dishonouring senior debt. I will be clear about this matter. If one decides to torch that house, the house next door is called "deposits". One should not...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: I stand corrected.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: I share Senator O'Toole's dislike of having the phrase in the legislation but I never sit here as a lawyer. I sit here as a Minister and take the legal advice I am given in a matter like this. I welcome the fact the amendment was tabled and discussed because it gave me, as Minister, an opportunity to outline that this was not the policy in regard to Anglo Irish Bank.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: Senator O'Toole has raised a very large question which would probably necessitate a full amendment to the European Union treaties. Every member state which participates in the euro has representation on the governing council of the European Central Bank through their governors. That is of considerable value to Ireland and other countries. When we linked ourselves to sterling, we had no...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: No.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: A relationship needs to have two parties to it and whatever agreement is drawn up or whatever is specified by the Minister, clearly the written relationship framework would be concluded after consultation with the Governor. The relationship framework fully respects the independence of the Governor and there is no question of the Minister trying to direct the Governor under that section. In...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: I believe I explained that in terms of the vast amount of public money that will be invested in the institutions as a result of the programme and the need to ensure the Minister for Finance of the day will be accountable for that substantial investment to Dáil Éireann, to which he is responsible. That is the primary reason. The relationship framework is a very important provision that will...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: Which subsection?

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: Yes.

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: It is important to remember the context in which this power is being sought. The power is being sought because there are circumstances in the Irish banking system which are threats to the stability of the system and one of the threats to the stability of the system is that a particular institution might not be able to access any risk capital on the markets. In such circumstances the...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: Senator Coghlan has given a good example. Although I have a substantial shareholding, for example, in Bank of Ireland or AIB, the fact remains that there are questions about the exercise of those voting rights in a context where I am making a further investment in terms of the stock exchange procedures and rules that apply to takeovers etc. I say to Senator O'Toole, that is the purpose of...

Seanad: Credit Institutions (Stabilisation) Bill 2010: Committee and Remaining Stages (16 Dec 2010)

Brian Lenihan Jnr: There has been a substantial amount of change and scope for further change under this legislation when it is fully implemented in the next few weeks. A multilateral trading facility is a secondary market rather than an official market.