We need your help now
Support from readers like you keeps The Journal open.
You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.
If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.
Sign in. It’s quick, free and it’s up to you.
An account is an optional way to support the work we do. Find out more.
By continuing, you are indicating that you accept our Terms of Service and Privacy Policy.
The letter from David Drumm to Brian Lenihan on 24 October 2008. Click here if you cannot see this image.
THE FORMER CHIEF executive of Anglo Irish Bank, David Drumm, expressed concern about the possibility the bank would become liable for the failure of other financial institutions in the State guarantee scheme, newly-released documents reveal.
A letter from Drumm to then-finance minister Brian Lenihan on 24 October 2008, just over three weeks after the blanket bank guarantee was announced, was sent as part of the formal process of Anglo entering the guarantee scheme.
It forms part of documents released in response to a Freedom of Information request for all correspondence related to the banking crisis between the Minister for Finance and the heads of banks that were guaranteed from the period 1 August 2008 and 11 March 2009.
The Drumm letter was partly redacted when originally released to an Irish News of the World journalist in May 2009, but has now been released in full to the Sinn Féin finance spokesperson Pearse Doherty. The Donegal TD re-requested it and the other documents, in unredacted form, last October.
It was revealed last night that some of the original copies of these documents have gone missing in the Department of Finance.
In the above letter, Drumm outlined concerns that Anglo “might become liable to the Minister for some economic consequences of the failure of another covered institution”.
He noted that the bank – which is now defunct and put into liquidation – had been assured “that will this (sic) not occur” following meetings with the Department’s legal advisers the previous day.
The government was forced to completely nationalise Anglo Irish Bank in early 2009, merging it with Irish Nationwide to create Irish Bank Resolution Corporation which was in turn liquidated last February as part of the scrapping of the promissory note arrangement.
Drumm’s comments form part of the cover letter for Anglo’s return of the Guarantee Acceptance Deed (GAD) documents that, once signed, deemed the bank to be part of the government’s bank guarantee scheme.
On 22 October 2008, three weeks after the infamous €64.1 billion guarantee, Brian Lenihan wrote to BOI chief Richard Burrows, AIB chairman Dermot Gleeson, Irish Life and Permanent chief Gillian Bowler, EBS chairman Mark Moran, Irish Nationwide’s Michael Walsh, Postbank chairman Thierry Schuman and Anglo Irish Bank chairman Seán Fitzpatrick with copies of the GAD for each and a cover letter explaining their signatures were required.
Once the banks signed these documents they were deemed to come under the bank guarantee scheme which had been given statutory footing under the Credit Institution Financial Support Act and subsequent regulations signed into law earlier that month.
Details of the dates at which the banks became active under the scheme were disclosed by the current Finance Minister Michael Noonan in a written answer to Doherty in November 2011.
The documents released today include letters from the Minister for Finance to the guaranteed banks and the returned documents signed by the heads of the banks as well as some, but not all, of the cover letters.
“privatisation Drive” , another ” lets grab all they have” scam. Like ourselves, soon to be left with nothing to call our own.
@RJ.Fallon: beating up a 75 year old man should sort that right out…
@RJ.Fallon: we have nothing to call our own its all been given away by our treasous politicians….this republic has been sold right under our feet and stupid paddy doesnt give a f@@k.
@BananaRepublic1922:
Good.
I rather see them sold than the Irish taxpayer being on the hook for them
I worked in the semi state sector for years, my god the people in them would get some fright if there jobs were actually at risk.
@RJ.Fallon: Millionaire FF/FG politicians are just waiting for an excuse to sell IW from under our noses.
It isn’t the Greeks it’s the Chinese he’s after.
We can all sympathise with how they may feel, seeing their country being sold out from under them, but beating the ever loving sh.. it out of a 75 year old man isn’t the way to solve anything. That’s the sort of thing that makes their cause worthless, it makes them worse than those they’re angry about. A big muscled lad picking on the weakest in society, yeah that sends a great message.
With a meeting of eurozone finance ministers set for 21 June, teams of experts from the EU, the European Central Bank (ECB) and the International Monetary Fund (IMF) have met with the Greek government in recent days to discuss its privatisation drive, an overhaul of the civil service and the deregulation of the state-dominated energy market.
In a statement that gave no detail on the agreement, the EU’s executive said a staff-level accord had been reached.
This is the main piece of the article that deserves attention. The people they carried out the attack were labelled as being far right wing by the office of the countries left-wing leader. A cynical person would question this.
Perhaps the attackers were people that voted for Tsipras and Syriza in 2015 and now are utterly dismayed at how their country is and sold out from under their feet.
In any event I don’t know I wasn’t there.
The sad thing is there is no end in sight, Greece cannot effectively survive in the euro it is the totally wrong currency for them.
@John Fergus: don’t get me wrong it’s tragic what happened. Those responsible for beating a 75-year-old man should be figuratively hung. That being said the official line on this is likely skewed to benefit those giving it.
@John Fergus: Currency? If your economy was a basket case to begin with, does it matter much about the currency? Interestingly, most Greeks want to stay in the Euro, apparently – go figure?
Disgusting hitting a 75 year old man.
Unforgivable.
Would it have been OK If he was 30 and not 75?
Use precise geolocation data. Actively scan device characteristics for identification. Store and/or access information on a device. Personalised advertising and content, advertising and content measurement, audience research and services development.
These cookies are necessary for the website to function and cannot be switched off in our systems. They are usually only set in response to actions made by you which amount to a request for services, such as setting your privacy preferences, logging in or filling in forms. You can set your browser to block or alert you about these cookies, but some parts of the site will not then work.
These cookies may be set through our site by our advertising partners. They may be used by those companies to build a profile of your interests and show you relevant adverts on other sites. They do not store directly personal information, but are based on uniquely identifying your browser and internet device. If you do not allow these cookies, you will experience less targeted advertising.
These cookies enable the website to provide enhanced functionality and personalisation. They may be set by us or by third party providers whose services we have added to our pages. If you do not allow these cookies then these services may not function properly.
These cookies allow us to count visits and traffic sources so we can measure and improve the performance of our site. They help us to know which pages are the most and least popular and see how visitors move around the site. All information these cookies collect is aggregated and therefore anonymous. If you do not allow these cookies we will not be able to monitor our performance.
Cookies, device or similar online identifiers (e.g. login-based identifiers, randomly assigned identifiers, network based identifiers) together with other information (e.g. browser type and information, language, screen size, supported technologies etc.) can be stored or read on your device to recognise it each time it connects to an app or to a website, for one or several of the purposes presented here.
Advertising presented to you on this service can be based on limited data, such as the website or app you are using, your non-precise location, your device type or which content you are (or have been) interacting with (for example, to limit the number of times an ad is presented to you).
Information about your activity on this service (such as forms you submit, content you look at) can be stored and combined with other information about you (for example, information from your previous activity on this service and other websites or apps) or similar users. This is then used to build or improve a profile about you (that might include possible interests and personal aspects). Your profile can be used (also later) to present advertising that appears more relevant based on your possible interests by this and other entities.
Advertising presented to you on this service can be based on your advertising profiles, which can reflect your activity on this service or other websites or apps (like the forms you submit, content you look at), possible interests and personal aspects.
Information about your activity on this service (for instance, forms you submit, non-advertising content you look at) can be stored and combined with other information about you (such as your previous activity on this service or other websites or apps) or similar users. This is then used to build or improve a profile about you (which might for example include possible interests and personal aspects). Your profile can be used (also later) to present content that appears more relevant based on your possible interests, such as by adapting the order in which content is shown to you, so that it is even easier for you to find content that matches your interests.
Content presented to you on this service can be based on your content personalisation profiles, which can reflect your activity on this or other services (for instance, the forms you submit, content you look at), possible interests and personal aspects. This can for example be used to adapt the order in which content is shown to you, so that it is even easier for you to find (non-advertising) content that matches your interests.
Information regarding which advertising is presented to you and how you interact with it can be used to determine how well an advert has worked for you or other users and whether the goals of the advertising were reached. For instance, whether you saw an ad, whether you clicked on it, whether it led you to buy a product or visit a website, etc. This is very helpful to understand the relevance of advertising campaigns.
Information regarding which content is presented to you and how you interact with it can be used to determine whether the (non-advertising) content e.g. reached its intended audience and matched your interests. For instance, whether you read an article, watch a video, listen to a podcast or look at a product description, how long you spent on this service and the web pages you visit etc. This is very helpful to understand the relevance of (non-advertising) content that is shown to you.
Reports can be generated based on the combination of data sets (like user profiles, statistics, market research, analytics data) regarding your interactions and those of other users with advertising or (non-advertising) content to identify common characteristics (for instance, to determine which target audiences are more receptive to an ad campaign or to certain contents).
Information about your activity on this service, such as your interaction with ads or content, can be very helpful to improve products and services and to build new products and services based on user interactions, the type of audience, etc. This specific purpose does not include the development or improvement of user profiles and identifiers.
Content presented to you on this service can be based on limited data, such as the website or app you are using, your non-precise location, your device type, or which content you are (or have been) interacting with (for example, to limit the number of times a video or an article is presented to you).
With your acceptance, your precise location (within a radius of less than 500 metres) may be used in support of the purposes explained in this notice.
With your acceptance, certain characteristics specific to your device might be requested and used to distinguish it from other devices (such as the installed fonts or plugins, the resolution of your screen) in support of the purposes explained in this notice.
Your data can be used to monitor for and prevent unusual and possibly fraudulent activity (for example, regarding advertising, ad clicks by bots), and ensure systems and processes work properly and securely. It can also be used to correct any problems you, the publisher or the advertiser may encounter in the delivery of content and ads and in your interaction with them.
Certain information (like an IP address or device capabilities) is used to ensure the technical compatibility of the content or advertising, and to facilitate the transmission of the content or ad to your device.
Information about your activity on this service may be matched and combined with other information relating to you and originating from various sources (for instance your activity on a separate online service, your use of a loyalty card in-store, or your answers to a survey), in support of the purposes explained in this notice.
In support of the purposes explained in this notice, your device might be considered as likely linked to other devices that belong to you or your household (for instance because you are logged in to the same service on both your phone and your computer, or because you may use the same Internet connection on both devices).
Your device might be distinguished from other devices based on information it automatically sends when accessing the Internet (for instance, the IP address of your Internet connection or the type of browser you are using) in support of the purposes exposed in this notice.
The choices you make regarding the purposes and entities listed in this notice are saved and made available to those entities in the form of digital signals (such as a string of characters). This is necessary in order to enable both this service and those entities to respect such choices.
have your say