Terence Flanagan (Dublin North East, Independent)
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68. To ask the Minister for Finance his oversight on vulture funds; and if he will make a statement on the matter. [37514/14]

Michael Noonan (Limerick City, Fine Gael)
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Primary responsibility for the supervisory oversight and regulation of financial institutions, funds and insurance companies rests with the Central Bank of Ireland.  If I understand the Deputy's use of the term "vulture funds" to be a reference to the funds which have purchased loan books from banks operating in Ireland in the recent past, there has been some commentary on the need for the protection of consumers especially where the new owners of the loan books are not subject to regulation by the Central Bank.

Of course, where the new owners of the loan books are regulated entities, or become regulated entities, they are subject to regulation and oversight by the Central Bank of Ireland. They must comply with the various Central Bank Codes including the Code of Conduct on Mortgage Arrears.

Where the purchaser of a loan book has not been a regulated entity in Ireland, those companies have committed to voluntarily apply the codes when managing the loan books. Of course, voluntary compliance is not enforceable and ultimately it is the aim of this Government to ensure the same protections are available for all consumers whose loans have been sold.

Therefore, as Minister for Finance, I am committed to bringing forward legislation that protects consumers whose mortgages are sold to unregulated entities. The Government has reiterated this commitment on several occasions. In July and August of this year, my Department ran a public consultation seeking views on its proposed legislation to protect consumers whose loans are sold to unregulated entities.  

The Department of Finance received 18 submissions from a range of respondents from the financial services industry, consumer groups, public representatives and individuals and other stakeholders. Officials in my Department are carefully considering the submissions and it is anticipated that legislation will be published by the end of this year.