Joan Burton (Dublin West, Labour)
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Question 114: To ask the Minister for Enterprise, Trade and Employment his views on recent reports of irregularities with respect to the short-selling of Irish banking stocks; the progress of the investigation into these reports; his views on whether the Financial Regulator has sufficient powers to bring such investigations to a successful conclusion; if he proposes to introduce tougher sanctions for malicious trading practices; and if he will make a statement on the matter. [17010/08]

John McGuinness (Carlow-Kilkenny, Fianna Fail)
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I am aware that on the 20th March, the Financial Regulator issued a public statement drawing attention to false rumours circulating about certain share prices and reminding all those involved in the market of the need to be responsible in their handling of rumours. The Regulator also stated that it was examining the market activity for any signs of market abuse. I understand that work is ongoing and it would therefore not be appropriate for me to comment on the matter.

The Financial Regulator has similar powers to those of all securities regulators across Europe and, I understand, cooperates closely with other regulators to combat market abuse, which is often international in character. The current legislative position with strong powers of investigation and administrative sanctions provides a good framework for effective supervision.