Menu
07/07/2010
Lenihan Tough On NAMA Bankers' Errors
Banks have been less than clear on certain aspects of the running of the National Asset Management Agency (NAMA).
Daíl Minister for Finance Brian Lenihan has now promised action against banks that provide "misleading information" but insisted that NAMA had done its job, and actually paid the banks less than had been envisaged.
His comments come after yesterday's publication of NAMA's business plan that showed a lower number of loans are producing income for the agency than had been outlined in the original business plan.
Speaking on RTÉ's Morning Ireland, Mr Lenihan said the government had never relied completely on information from the banks and said those who knowingly gave false information to NAMA could face criminal prosecution.
"It's written into the legislation that if there's any misleading statements by bankers that they commit a criminal offence," he said.
"If evidence of that were to materialise, NAMA could put it in the possession of the prosecuting authorities and deal with the banks accordingly."
The revised business plan yesterday showed that the agency could lose €800 million in the worst-case scenario - but this shortfall would be covered by a levy on banks, Mr Lenihan said.
The agency said it expected to make a profit of €1 billion, but should economic conditions improve, this total could reach as much as €3.8 billion - despite an earlier draft business plan in October estimating NAMA would make €4.8 billion profit.
Mr Lenihan denied that there had been an "endless deterioration" in NAMA's figures, and said these the difference in the profit forecasts between to the two business plans was explained by the earlier version being based on information supplied by the banks themselves.
"We didn't rely on that information [for the revised plan], we didn't take any decisions on foot of that information; we simply gave an indication of what we believed the state of play was at that stage, and at that stage we believed Nama could yield a profit of several billion," he said.
"It now appears NAMA are confident they will make a profit of a billion. The key point here is that we didn't rely on the figures, we didn't trust the banks. We weren't hoodwinked by the banks."
(BMcC/KMcA)
Daíl Minister for Finance Brian Lenihan has now promised action against banks that provide "misleading information" but insisted that NAMA had done its job, and actually paid the banks less than had been envisaged.
His comments come after yesterday's publication of NAMA's business plan that showed a lower number of loans are producing income for the agency than had been outlined in the original business plan.
Speaking on RTÉ's Morning Ireland, Mr Lenihan said the government had never relied completely on information from the banks and said those who knowingly gave false information to NAMA could face criminal prosecution.
"It's written into the legislation that if there's any misleading statements by bankers that they commit a criminal offence," he said.
"If evidence of that were to materialise, NAMA could put it in the possession of the prosecuting authorities and deal with the banks accordingly."
The revised business plan yesterday showed that the agency could lose €800 million in the worst-case scenario - but this shortfall would be covered by a levy on banks, Mr Lenihan said.
The agency said it expected to make a profit of €1 billion, but should economic conditions improve, this total could reach as much as €3.8 billion - despite an earlier draft business plan in October estimating NAMA would make €4.8 billion profit.
Mr Lenihan denied that there had been an "endless deterioration" in NAMA's figures, and said these the difference in the profit forecasts between to the two business plans was explained by the earlier version being based on information supplied by the banks themselves.
"We didn't rely on that information [for the revised plan], we didn't take any decisions on foot of that information; we simply gave an indication of what we believed the state of play was at that stage, and at that stage we believed Nama could yield a profit of several billion," he said.
"It now appears NAMA are confident they will make a profit of a billion. The key point here is that we didn't rely on the figures, we didn't trust the banks. We weren't hoodwinked by the banks."
(BMcC/KMcA)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
31 July 2009
Developer Loses Court Bid To Appoint Examiner
Six companies controlled by the well known property developer Liam Carroll, will not be appointed an examiner, a court has decided.
Developer Loses Court Bid To Appoint Examiner
Six companies controlled by the well known property developer Liam Carroll, will not be appointed an examiner, a court has decided.
26 August 2010
NAMA Applauded At Stormont
There has been high-level support expressed for the work of the Irish Republic's National Asset Management Agency, (NAMA) and its impact on NI finances.
NAMA Applauded At Stormont
There has been high-level support expressed for the work of the Irish Republic's National Asset Management Agency, (NAMA) and its impact on NI finances.
14 May 2010
NAMA Move Welcomed At Stormont
There has been a welcome for this week's announcement by the National Asset Management Agency (NAMA) confirming the establishment of its Northern Ireland Advisory Committee.
NAMA Move Welcomed At Stormont
There has been a welcome for this week's announcement by the National Asset Management Agency (NAMA) confirming the establishment of its Northern Ireland Advisory Committee.
03 November 2009
Finance Dept Seeks Nama Candidates
The Department of Finance has placed advertisements in today's newspapers seeking people to join the first board of the contentious National Asset Management Agency. The ad states the Governemnt is seeking expressions of interest from those with "specialist expertise" to join the board that will be buying up toxic loans being held by banks.
Finance Dept Seeks Nama Candidates
The Department of Finance has placed advertisements in today's newspapers seeking people to join the first board of the contentious National Asset Management Agency. The ad states the Governemnt is seeking expressions of interest from those with "specialist expertise" to join the board that will be buying up toxic loans being held by banks.
25 September 2009
NAMA Gets Assembly Debate
A move to 'save' the crumbling economy in the Irish Republic is to have an airing in Northern Ireland.
NAMA Gets Assembly Debate
A move to 'save' the crumbling economy in the Irish Republic is to have an airing in Northern Ireland.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
