Brian Lenihan Jnr (Dublin West, Fianna Fail)

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 restoring a credit institution. The Bill follows the language used in the relevant European Union directive. This does not bind the Minister to any future course of action.

One of the reasons for the speedy enactment of the legislation is to bring about a speedy resolution of the issues that have arisen in Anglo Irish Bank Corporation and Irish Nationwide Building Society. The legislation will facilitate the merger of these institutions, together with the disposal of certain of their liabilities and the preservation of the entity solely for the purpose of working out the assets over time.