Paul Coghlan (Fine Gael)

Given the results achieved following the expression of outrage at what was attempted in the Bank of Ireland by way of the pension top-up, both Houses rightly expressed their outrage at what was proposed and the right result was achieved. This should never have happened as the top-up was ridiculous at this time and completely insensitive, given all the other matters in the State. I know about the fiduciary duties and corporate governance and company law and other banking requirements with regard to the public interest directors. We will not know what they have said within but one hopes these public interest directors are not simply nodders and yes men captured by some of the old boys already on the boards. Now that they are in there, they should be ensuring a proper clean-up of whatever remains that is wrong and of the people who may still be lingering on boards who do not deserve to be on them. I welcome the provision in the new Central Bank Reform Bill which will require tests in regard to interests, probity and competence. Other issues arise. As we said yesterday, not alone were the guidelines breached in one instance but perhaps there are instances of breaches in all five participating institutions in NAMA. In the case of the Irish Nationwide Building Society, not only were guidelines clearly breached, important matters that should have been reported in accordance with the law were not reported. These matters have to be cleaned up.

In regard to conflict of interest situations which exist in some of these institutions - I refer specifically to people at senior management - I hope the public interest directors will take an interest in that too. People who had an easy if not a cosy relationship with the people for whom they sanctioned these impaired loans are now, I understand, managing these impaired loan portfolios for NAMA on an agency basis. What kind of a ridiculous situation is that?