Gerry Adams (Louth, Sinn Fein)
Link to this: Individually | In context

Question 227: To ask the Minister for Finance if the relationship framework agreement between IBRC and the State forces IBRC to disclose to him or to his officials the fees paid to outside advisors; if he or his officials are aware of the fees charged by every advisor that have been engaged by IBRC or its previous forms of Anglo and Irish Nationwide; and if he will make a statement on the matter. [20360/12]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context

Neither the 2009 Relationship Framework nor the current Relationship Framework document force IBRC to disclose to the Minister fees paid to outside advisors. I am not aware, nor are my officials aware, of the fees charged by every advisor that has been engaged by IBRC or the former Anglo Irish Bank or the Irish Nationwide Building Society on an on-going basis. It is important to appreciate the fundamental separation of roles between the Minister and the Board of the bank in relation to IBRC and indeed the other financial institutions in which the State has an interest. This separation of roles is required by EU State Aid and Competition Authority rules. In the case of IBRC the Relationship Framework assigns responsibility for strategy, commercial policies and day to day operation to the Board of the bank. This assignment of responsibility includes a requirement to establish and ensure compliance with policies, including procurement policies, which conform to best practice in a commercial environment. General procurement matters, including the engagement of advisors, but excepting the engagement of auditors and legal advisors, are matters for the Board. These latter appointments are listed as "reserved matters" in the Relationship Framework documents, requiring the Minister's prior approval.

For you information the current Relationship Framework document sets out in Section 26 the requirements in relation to the appointment of advisors. This document can be accessed at the following link. http://banking.finance.gov.ie/wp-content/uploads/Irish-Bank-Resolution-Corporation1.pdf