Alan Kelly (Labour)

It is interesting that the previous speaker asked us to be angry. I am sure he knows we have such a history.

Before I address the substance of the Bill, I ask the Minister what is the rush in ramming it through the Oireachtas today. History teaches us that rushed legislation is bad legislation. What difference would it make if the Bill was passed tomorrow and if we had more time to debate it? I do not believe an extra 24 hours will change the status of Anglo Irish Bank. I understand the Minister will state it must be passed before 9 o'clock tomorrow and that, therefore, it must be signed into law tonight. I am not sure why or what difference it would make. Perhaps the Minister will elaborate on that point.

The stakes are the highest ever and we need a proper vehicle to provide for future developments, a matter on which this legislation will have an impact. We do not know whether it is the correct legislation or how much money will need to be invested. The Bill was only published last night, following on from the Government's prior announcement that it would nationalise Anglo Irish Bank. Despite receiving copies of the Bill only today, we are all expected to contribute in detail. It is impossible to go through the 39 sections in detail. No matter how hard we try as legislators, the Bill will not be stress-tested today. No one on either side of the House will be 100% sure about his or her analysis. I will ask specific questions in this regard later.

Recently, the Taoiseach sent what I would call a patronising letter to party leaders, but he should send to the Ministers and members of his parliamentary party the same letter on being careful about what is said concerning the banking situation. There was no need to send such letters. We in the Labour Party, the Fine Gael Party and others on this side of the House have behaved honourably during this crisis. The Labour Party has been consistent and for a long time has predicted the problems we are now facing, namely, lack of proper regulation, lack of knowledge about complex financial products, risky lending, the inflated property bubble and so on. It will continue to behave responsibly. If anything, the Taoiseach should have muzzled some of his backbenchers who do not seem to be consistent or knowledgeable enough in their statements, particularly in local media.

It is unfortunate that people, including some at the Cabinet table, have no confidence in how the Government is handling the banking crisis. Last year, the Government repeatedly stated that the banking system was sound and that there was no need for panic. We then found out about a lot of panic, as the banking system was far from sound. The Government announced the credit institutions bank bail-out Bill in September and denied that banks needed capitalisation, on which it was assured by the same banks and the financial regulatory system. It then decided that it had been wrong and that banks needed to be recapitalised but not nationalised. Effectively, all they needed was to be guaranteed. Under the radar, Ministers hoped that this would lead to some consolidation in the system and the development of stronger institutions, but they were wrong because they forgot about the egos and the large salaries involved, particularly within some banks.

It turns out that we were wrong again and we are now facing the nationalisation of Anglo Irish Bank. The developers' bank is in trouble largely because of its ridiculous lending to individuals of supposedly high net worth who were engaged in property speculation and the mantra of whom was "Give me more". Anglo Irish Bank was engaged in pure, unadulterated greed.

In recent months, the Minister has reminded me of someone who keeps throwing the dice looking for a six, but not getting it. In support of what the country needs, I hope he gets that six soon, but the Bill will not give it to him. We are debating it blindfolded and without critical data. What occurred on the weekend before the guarantee was given? Give us confidence in the banks' position. Information in the media is probably true, namely, that it was sink or swim time when the banks approached the Minister. We have not seen the PricewaterhouseCoopers report detailing the banks' standing, although the Minister's point on confidential information is a fair one. However, I do not understand why we cannot receive a precis of the report, in particular, the facts and figures on the loan books, with names scrubbed out if necessary.

The figures cited today do not seem to add up. How good are the loans and how many are at risk? How is the Government evaluating whether the loans are at risk and does its evaluation stand up to scrutiny? We need to see what we are getting into, how much toxic debt there is and whether the loans for housing estates scattered across the country stand up.

We are debating not only the nationalisation of Anglo Irish Bank, but the future of the banking system. People no longer have confidence in politicians or the banking industry. They believe that an old boys' club is in place. This perception cannot be changed. It is voiced every day on radio talk shows, on the streets and everywhere else. We should have heeded the EU's warnings. The inflated property bubble was the country eating its own flesh. We internalised our economy and lost competitiveness. We did not create primary jobs that led to exports. Instead, we created secondary jobs, particularly those in construction and its service industries, which were based on a time bomb. The argument that the situation owes to international factors alone does not stand up to scrutiny.

A plan to restore confidence in the banking institutions has been necessary for some time. We need a grand strategy as the day of trust is gone. People no longer trust the Government, politicians, the regulator or banks to know or admit what is on the loan books. The Taoiseach's statement in Japan that it is business as usual was unfortunate and out of touch as it is anything but business as usual. While the Minister hopes that his next trick will work, it is unfortunate that none of them has worked to date.

People need to hope that the Government can lead them out of this crisis and get credit moving for small businesses. We are in a worse position than we were last September. People hope and desire that those who behaved in a reckless manner in the recent past will be pursued and punished fully. If in hindsight we realise that legislation is necessary, it should be introduced.

People hope that the bank's former chairman will be seen to eat his words. It is important for the country's future and the way in which we are seen to do business that there is accountability concerning the way in which the money was concealed. What occurred was immoral. Whether it was illegal has been questioned. I hope that it will be found to be illegal. Under the Companies Act, it must be illegal. Was fault not evident? The Office of the Director of Corporate Enforcement has a significant role to play in this regard and I wish it the best.

The Government needs to lead the market because the latter does not believe the former. Every international newspaper and commentator is saying that an inept Government is leading an economy in trouble. That shares keep tumbling shows that the market is not enthusiastic about AIB and Bank of Ireland recapitalisation plans. The goal must be the protection of our banks, particularly the two main banks. Those are the banks with mortgages and they operate in every town.

It must be asked whether Anglo Irish Bank should have been included in the bank guarantee scheme. Will the Minister answer this question? It is a unique bank. We must also question the role and behaviour of auditors. If we need further legislation, as we probably do, it should be introduced. That is evident from the DIRT inquiry and the Goodman matter.

Can we guarantee that the bank will operate without unwanted interference? How will the directors be held to account and will the Oireachtas have a role therein? How will transparency around decisions be achieved, particularly those on its debt management? How will the assessor carry out his or her work? How well are the Department of Finance and the Minister working together? To date, every figure has been incorrect. I can accept this from lowly Senators such as myself——