Jump to content
House Price Crash Forum

The Ceo And Chairman Of Anglo Irish Bank Have Resigned Over "inappropriate" Failure By Bank To Disclose €87m In Personal Loans


Recommended Posts

Didn't get a personal loan for a new kitchen, or for a car for the Daughter then....

David Drumm, chief executive, resigned shortly after Mr FitzPatrick, who concealed the loans for eight years by temporarily transferring them to Irish Nationwide Building Society before each year-end to avoid revealing them in the accounts. Mr Drumm said: "It is appropriate for me to step down today given [the] announcement in relation to the resignation of Sean FitzPatrick and the strong statement of support for the bank and its recapitalisation programme by the Minister for Finance."

Although the transfer "did not in any way breach banking or legal regulations," Mr FitzPatrick said: "It is clear to me, on reflection, that it was inappropriate and unacceptable from a transparency point of view."

Ireland's financial regulator said: "While it does not appear that anything illegal took place in relation to these loans, the financial regulator was of the view that the practices surrounding these loans were not appropriate. As a result, we advised Anglo Irish to ensure that these loans are reported in the annual accounts for 2008."

Mr FitzPatrick, 60, the bank's chief executive of 18 years before becoming chairman in 2005, said the €87m of loans were "fully secured ... on normal commercial terms". Mr FitzPatrick was paid €431,000 last year and owns 4.5m shares – 0.6pc of the group. Total loans to directors as of September 30 stood at €150m, the bank said.

http://www.telegraph.co.uk/finance/newsbys...riate-loan.html

Edited by Converted Lurker
Link to post
Share on other sites
Didn't get a perosnal loan for a new kitchen, or car for the Daughter then....

David Drumm, chief executive, resigned shortly after Mr FitzPatrick, who concealed the loans for eight years by temporarily transferring them to Irish Nationwide Building Society before each year-end to avoid revealing them in the accounts. Mr Drumm said: "It is appropriate for me to step down today given [the] announcement in relation to the resignation of Sean FitzPatrick and the strong statement of support for the bank and its recapitalisation programme by the Minister for Finance."

Although the transfer "did not in any way breach banking or legal regulations," Mr FitzPatrick said: "It is clear to me, on reflection, that it was inappropriate and unacceptable from a transparency point of view."

Ireland's financial regulator said: "While it does not appear that anything illegal took place in relation to these loans, the financial regulator was of the view that the practices surrounding these loans were not appropriate. As a result, we advised Anglo Irish to ensure that these loans are reported in the annual accounts for 2008."

Mr FitzPatrick, 60, the bank's chief executive of 18 years before becoming chairman in 2005, said the €87m of loans were "fully secured ... on normal commercial terms". Mr FitzPatrick was paid €431,000 last year and owns 4.5m shares – 0.6pc of the group. Total loans to directors as of September 30 stood at €150m, the bank said.

http://www.telegraph.co.uk/finance/newsbys...riate-loan.html

fully secured

normal commdercial terms

yeah right!

These pigs have had their noses in the trough for too long, and continue to do so.

Link to post
Share on other sites
fully secured

normal commdercial terms

yeah right!

These pigs have had their noses in the trough for too long, and continue to do so.

"Personal Loans"+"Normal Commercial Terms" = BTL!!!!!!!

With ireland having a massive HPC, far bigger and faster than ours so far, how much of the e87m will get paid back do you think?

Link to post
Share on other sites
Didn't get a personal loan for a new kitchen, or for a car for the Daughter then....

David Drumm, chief executive, resigned shortly after Mr FitzPatrick, who concealed the loans for eight years by temporarily transferring them to Irish Nationwide Building Society before each year-end to avoid revealing them in the accounts. Mr Drumm said: "It is appropriate for me to step down today given [the] announcement in relation to the resignation of Sean FitzPatrick and the strong statement of support for the bank and its recapitalisation programme by the Minister for Finance."

Although the transfer "did not in any way breach banking or legal regulations," Mr FitzPatrick said: "It is clear to me, on reflection, that it was inappropriate and unacceptable from a transparency point of view."

Ireland's financial regulator said: "While it does not appear that anything illegal took place in relation to these loans, the financial regulator was of the view that the practices surrounding these loans were not appropriate. As a result, we advised Anglo Irish to ensure that these loans are reported in the annual accounts for 2008."

Mr FitzPatrick, 60, the bank's chief executive of 18 years before becoming chairman in 2005, said the €87m of loans were "fully secured ... on normal commercial terms". Mr FitzPatrick was paid €431,000 last year and owns 4.5m shares – 0.6pc of the group. Total loans to directors as of September 30 stood at €150m, the bank said.

http://www.telegraph.co.uk/finance/newsbys...riate-loan.html

This is the end for Anglo Irish Bank I fear. It was probably never going to survive anyhow but the fact that the bank's executive management has been exposed as an outfit that deliberately deceived investors and its own shareholders for 8 years on such an important financial reporting item as directors loans is totally unforgivable. And as to how the management of any bank could see it appropriate for a single Director to have loans totaling €87 million beggars belief. And then to cover this up in such an extraordinary manner must surely be criminal. How can the state guarantee the debts of a bank that has been managed in such a shoddy and irresponsible manner? And how can what they have done not be illegal? Surely there is a requirement for urgent legislation if bank deception of this nature is deemed to be legal.

There are serious questions also to be asked of the Irish Nationwide Building society, whose management facilitated this heinous loan swap for 8 years. It makes it look as if the top management of both banks have been running some sort of cowboy cartel designed to deceive shareholders and financial markets alike. The Auditors of Anglo Irish Bank have also done their reputation irreparable harm, by being so conveniently blind. To overlook something of this nature one year might be put down to carelessness, but to do it for 8 years running just smacks of something altogether more rotten. If Anglo Irish Bank goes down the tubes, the auditors may well follow them.

Shame on the lot of them!

Edited by Sebastian
Link to post
Share on other sites
This is the end for Anglo Irish Bank I fear. It was probably never going to survive anyhow but the fact that the bank's executive management has been exposed as an outfit that deliberately deceived investors and its own shareholders for 8 years on such an important financial reporting item as directors loans is totally unforgivable. And as to how the management of any bank could see it appropriate for a single Director to have loans totaling €87 million beggars belief. And then to cover this up in such an extraordinary manner must surely be criminal. How can the state guarantee the debts of a bank that has been managed in such a shoddy and irresponsible manner? And how can what they have done not be illegal? Surely there is a requirement for urgent legislation if bank deception of this nature is deemed to be legal.

Immoral yes. Illegal, probably not.

it's called loophole. you find them, you can use them to your advantage.

In this case the and chairman has probably created a massive BTL portfolio. There is nothing else he could have spent the money on.

If he had sold just before the peak he would have made a huge profit, paid the bank back, and the bank would have made a huge profit.

No-one would have been any-the-wiser.

He's probably only resigning now because he's about to default though.

Link to post
Share on other sites
This is the end for Anglo Irish Bank I fear. It was probably never going to survive anyhow but the fact that the bank's executive management has been exposed as an outfit that deliberately deceived investors and its own shareholders for 8 years on such an important financial reporting item as directors loans is totally unforgivable. And as to how the management of any bank could see it appropriate for a single Director to have loans totaling €87 million beggars belief. And then to cover this up in such an extraordinary manner must surely be criminal. How can the state guarantee the debts of a bank that has been managed in such a shoddy and irresponsible manner? And how can what they have done not be illegal? Surely there is a requirement for urgent legislation if bank deception of this nature is deemed to be legal.

There are serious questions also to be asked of the Irish Nationwide Building society, whose management facilitated this heinous loan swap for 8 years. It makes it look as if the top management of both banks have been running some sort of cowboy cartel designed to deceive shareholders and financial markets alike. The Auditors of Anglo Irish Bank have also done their reputation irreparable harm, by being so conveniently blind. To overlook something of this nature one year might be put down to carelessness, but to do it for 8 years running just smacks of something altogether more rotten. If Anglo Irish Bank goes down the tubes, the auditors may well follow them.

Shame on the lot of them!

Excellent post.

Edited by juvenal
Link to post
Share on other sites

ANGL closed at 0.28 today, down 15%, all time low.

You think that is bad news? Wait for this: Calypso Capital Management, Lansdowne Partners, Tiger Global Management and Citadel have been short the stock since September (when it was above 5) and are all STILL SHORT:

http://www.londonstockexchange.com/en-gb/p...rue&ns=ANGL

When do you think they are planning to take profit?

IMO they are betting on the total collapse of the Irish banking system, with Anglo Irish to go down first.

Let's see what happens to the Euro if they are right...

Link to post
Share on other sites
ANGL closed at 0.28 today, down 15%, all time low.

You think that is bad news? Wait for this: Calypso Capital Management, Lansdowne Partners, Tiger Global Management and Citadel have been short the stock since September (when it was above 5) and are all STILL SHORT:

http://www.londonstockexchange.com/en-gb/p...rue&ns=ANGL

When do you think they are planning to take profit?

IMO they are betting on the total collapse of the Irish banking system, with Anglo Irish to go down first.

Let's see what happens to the Euro if they are right...

if you're short stock and the company is nationalised, what happens to the positions then?

Link to post
Share on other sites
ANGL closed at 0.28 today, down 15%, all time low.

You think that is bad news? Wait for this: Calypso Capital Management, Lansdowne Partners, Tiger Global Management and Citadel have been short the stock since September (when it was above 5) and are all STILL SHORT:

http://www.londonstockexchange.com/en-gb/p...rue&ns=ANGL

When do you think they are planning to take profit?

IMO they are betting on the total collapse of the Irish banking system, with Anglo Irish to go down first.

Let's see what happens to the Euro if they are right...

nice spot. B)

Link to post
Share on other sites
These pigs have had their noses in the trough for too long, and continue to do so.

The tide is out - and they have NOTHING on - they're not only naked - they're skeletons.

Seriusly though; this is beyond belief -- Trouble is -- it is just the tip of the tip of the tip of the iceberg....

Things are going to get REALLY nasty - I feel it on my bones......

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
  • Recently Browsing   0 members

    No registered users viewing this page.

  • 439 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.