THE COMMERCIAL COURT has heard that Anglo Irish Bank’s chief executive objects to the transfer of Paddy McKillen’s €2bn in loans to the National Asset Management Agency – because McKillen has the power to help spearhead an economic recovery.

In a letter written to NAMA in June and read to the court today, Mike Aynsley argued that McKillen had the means to lead Ireland out of its economic woes and said he wanted NAMA to meet with McKillen and explain why it wanted to take control of his loans.

McKillen owes €2bn to various banks, including €800m to Anglo Irish Bank itself. Only €5m of that amount, he said, was taken out for land and development, however.

The letter also said that Aynsley was annoyed with how McKillen had become disillusioned with the lack of explanation for why his loans were being sought by the state’s ‘Bad Bank’.

Another of McKillen’s lawyers sought a clarification from the European Commission on the meaning of its approval of the legislation creating NAMA, arguing that a correct interpretation of the Commission’s approval meant only impaired loans could be taken on board.

McKillen’s team will finish its opening arguments tomorrow, after which attorney general Paul Gallagher is to outline the state’s position.