Bernard Durkan (Kildare North, Fine Gael)
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Question 75: To ask the Minister for Finance the extent of change in banking structures and personnel in each of the banks or other financial institutions sought by him or brought about by circumstances arising from injudicious borrowing or lending which culminated in the National Asset Management Agency rescue plan; the job description, terms and conditions of employment in each case; if he is satisfied that the extent of administrative and personnel changes at top level is adequate to ensure a complete break in the culture that has existed which led to the ongoing banking crisis; if he has sought, taken or received advice from outside or internal sources in this regard; the steps he has taken or procedures put in place to ensure that properties disposed of now or in the future on the open market are not likely to be acquired directly or indirectly by persons, groups, bodies or agencies which may ultimately be the subject of the NAMA scheme or in any way qualifying for a double rescue package; and if he will make a statement on the matter. [44905/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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All but two of the covered institutions have replaced their CEOs since 2008. Similarly all but two of the covered institutions have had a change of Chairman since 2008.

In addition to the introduction of the public interest Directors, each of the covered institutions have also had changes to the membership of their Boards of Directors.

The job descriptions and terms and conditions of employment in each of the above cases would be matters for the individuals and the relevant institutions.

The Deputy also raised the question of a break in the banking culture which existed in our banking industry. In response, I would point to the above information on personnel changes at the highest levels in the covered institutions and the signals which this Government is sending to international markets that it is far from business as usual in the Irish banking sector. Reform of the regulatory structure is being advanced and as the Deputy will be aware the report of the Covered Institutions Remuneration Committee was placed before the House on 13 March 2009 and all of the covered institutions must follow its recommendations.

Of course, throughout all of this process I am consulting widely.

I would like to clarify that we have placed no statutory restrictions on disposals or acquisitions of property where this is done on the open market. However, section 172 of the NAMA Act places restrictions on the acquisition of land or other assets which are acquired by NAMA where there has been a default in a loan. The debtor or a person who would be an associated debtor in respect of that loan will not be entitled to acquire the asset from NAMA. There is also provision to extend the scope of this restriction by regulation.