Results 32,101-32,120 of 32,983 for speaker:Paschal Donohoe

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

Paschal Donohoe: There are two other points relating to section 7, with the first being section 7(5)(c), which states: "the Minister has reasonable grounds for believing that confidentiality with regard to the proposed direction order, or the possibility of the making of a direction order, would not be maintained and that the breach of such confidentiality would have significant adverse consequences". What...

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

Paschal Donohoe: What urgent circumstances would result in the section being triggered?

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

Paschal Donohoe: In that case, is it not a requirement that the Minister's application to the court be made on technical grounds? Could this provision be triggered by a change in broader circumstances or as a result of new information coming to light?

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

Paschal Donohoe: Having read a substantial amount of commentary on the Bill and the record of the debate in the other House, it is clear that some of the powers provided for in section 13 have given rise to considerable discussion. The extraordinary innovation in the Bill is the introduction of the concept of special manager, a person who may be appointed to a bank and, on behalf of the Minister, exercise...

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

Paschal Donohoe: I hope not.

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

Paschal Donohoe: There has been much discussion in the House about the scope and power of public interest directors, whether they have performed well and what they were aware of at different times. The Minister states the role of the special manager will be to act in the best interests of the bank, to which he or she has been appointed. This is not what is required. The purpose of the appointment must be...

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

Paschal Donohoe: I understand this section concerns an institution which has been nominated to receive a special manager because of the threat it poses to the rest of the system. It also concerns the ability of the institution to challenge that it needs such a special manager. In this regard, the section includes the words, "not later than five working days after the making of the special management order"....

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

Paschal Donohoe: Why is a period of five working days allowed instead of one?

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

Paschal Donohoe: Why does the Bill declare a period of six months from the making of a relevant special management order? I understand this to mean the period a special manager will be in place. What is the thinking behind this provision? I would have thought that, given the role such a person would have, it would make sense to leave him or her in place for a longer period to send a signal to the culture...

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

Paschal Donohoe: Just about.

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

Paschal Donohoe: I want to add to that and draw attention to section 4, which gives the special manager "sole authority over and direction of all officers and employees of the relevant institution". This means anybody working in the financial institution would be bound to obey the direction of the special manager in any area. Will the Minister clarify this? If the special manager asks an employee to carry...

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

Paschal Donohoe: The Minister did not answer my specific question and I want an answer. I asked what the relationship would be between the special manager and an employee of one of these financial institutions. For example, it could be the director, the chief executive officer or chief operations officer of the bank. My understanding is that this Bill will give the special manager the ability to order any...

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

Paschal Donohoe: My question concerns section 22(2). On receivership, enforcement and claims against the financial institution, the Bill states: "Paragraphs (f), (g) and (h) of subsection (1) do not apply to the Bank, the European Central Bank or any other national central bank within the Eurosystem." If it is necessary to say this section does not apply to other banks within the euro system, why is it not...

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

Paschal Donohoe: I thank the Minister for clarifying and I understand this point.

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

Paschal Donohoe: Section 22(3) gives the special manager power on a load of detailed activity that could take place in the banks, including actions concerning bank accounts and bank mandates. Section 21 states that a special manager may appoint people to help in the discharge of his or her duties. Would it not be better if the section also referred to people working for the special manager? Otherwise...

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

Paschal Donohoe: I move amendment No. 1: In page 13, paragraph (c), line 26, to delete "and restoration". I wish to make a general point. The debate on the Bill is due to be guillotined at 4 p.m. and there are many points I wish to make about various sections. In reply to the debate on Second Stage the Minister of State, Deputy Mansergh, stated there were not many other examples of such legislation in other...

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

Paschal Donohoe: Is it really necessary to include the phrase "and restoration"? What is the Minister seeking to restore?

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

Paschal Donohoe: I hope they are listening.

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

Paschal Donohoe: In a way I wish to pick up on what Senator O'Toole said about the independence of the Central Bank from any explicit political guidance. Will the Minister explain further what this section means? The phrase "may from time to time specify a relationship framework in writing to govern the relationship between the Minister and Governor" is ripe for abuse in the future. Section 7(2) states:...

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

Paschal Donohoe: Is much of that guidance not already laid out in the Central Bank Reform Act 2010, which specifies the role of the Central Bank and other regulatory bodies in our financial and banking systems? During the debate on that Bill we discussed setting up the Central Bank Commission. The section uses the phrase "to govern the relationship between the Minister and the Governor [of the Central...