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Committee of Inquiry into the Banking Crisis: Context Phase (11 Mar 2015)

Susan O'Keeffe: I thank Professor Honohan.

Committee of Inquiry into the Banking Crisis: Context Phase (11 Mar 2015)

Susan O'Keeffe: We will wait.

Committee of Inquiry into the Banking Crisis: Context Phase (11 Mar 2015)

Susan O'Keeffe: The Governor has just read it.

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: When Mr. Carswell mentioned the person at senior level in AIB who had serious reservations, did he continue to say, or not say, whether these reservations had been taken on board? I do not believe he finished the thought.

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: In the course of his investigations, during the time he was writing books and as a financial correspondent, did anybody ever telephone or meet Mr. Carswell to ask him to stop? Were his telephones ever tapped?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: We talked a little about the banks packaging their loans and using residential mortgages to do so.

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: It did not become legal to package commercial mortgages until 2007 when legislation was passed.

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: Does Mr. Carswell know if commercial loans might have been packaged prior to that date and nobody knew, or did this not happen?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: Are we aware of any change in the way banks made loans after 2007? Did it make them more or less careful, or did it have any impact at all on the quality of loans?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: After the 2007 legislation was passed. Did they start to lend more because they had this capacity, or did it make any difference?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: Other countries had that legislation, whereby commercial mortgages could be used in that way.

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: What is Mr. Carswell's explanation for the way in which some loans were made, with unverified assertions, inaccuracies, incomplete and no information provided? Does he have a feeling for, or an understanding of, why the banks became so careless in the way they allowed loans to be made?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: The banks started to become involved in the actual vehicles and to take shares in property development. How did this change the relationship, in having banks involved in developments? Was this appropriate, different or not a problem?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: Would it be fair to say the wealth management division in any bank became the engine room for some of this activity?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: I have two final questions. Is Mr. Carswell aware of whether any of those private clients in banks were themselves politicians? When Professor William Black appeared before the committee he talked about the myriad ways in which bankers take money out of the system, that is, they took cash out for themselves. Is that something Mr. Carswell looked at or knows about and could he suggest in...

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: Is Mr. Carswell familiar with any way in which bankers, the people who ran the banks, could take money out of the banking system for themselves, their own private flow of money out of the bank?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: That is fine. The other question was whether Mr. Carswell was aware from his research if any other members, private clients of banks, were themselves politicians? Did anybody ever make that observation or suggestion or does he know?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: I mean at that level, I do not mean-----

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: Is that a story we are aware of or is it in his private knowledge?

Committee of Inquiry into the Banking Crisis: Context Phase (10 Mar 2015)

Susan O'Keeffe: I thank Mr. Carswell.

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