Catherine Connolly (Galway West, Independent)
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77. To ask the Minister for Rural and Community Development his views on the recommendation that credit unions be brought under the aegis of the Dormant Accounts Fund; and if he will make a statement on the matter. [1792/18]

Michael Ring (Mayo, Fine Gael)
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The Dormant Accounts Act 2001, together with the Unclaimed Life Assurance Policies Act 2003 and the Dormant Accounts (Amendment) Acts 2005-2012, provide a framework for the administration of unclaimed accounts in credit institutions (i.e. banks, building societies and An Post) and unclaimed life assurance policies in insurance undertakings.  The Dormant Accounts Fund is managed by the National Treasury Management Agency.

The legislation governing the Dormant Accounts Fund provides for schemes for the disbursement of funds that are unlikely to be reclaimed, for the purposes of supporting programmes or projects to assist specified disadvantaged groups.  My Department coordinates these disbursement schemes.

Credit unions are currently not subject to the dormant accounts legislation.  Dormant accounts in credit unions, and the practices surrounding them, are governed by Rule 22 of the Standard Rules for Credit Unions published by the Irish League of Credit Unions.

Detailed analysis and consultation would need to be carried out to establish the potential merits of adding dormant credit union accounts to the Dormant Accounts Fund.  In practical terms, increasing the amount available in the Fund in this way would not necessarily allow for the introduction of new dormant accounts measures or programmes.  Government Departments must source monies for dormant accounts programmes and measures from their Exchequer allocation in the same way as with all other funding programmes. It is only when monies are expended on dormant accounts measures that Departments can seek reimbursement from the Dormant Accounts Fund.