Government signs up to worst possible option on Anglo Irish Bank – Morgan

Speaking today after the Minister for Finance unveiled plans to split Anglo into two banks, Sinn Fein Spokesperson on Finance Arthur Morgan said the Government has signed up to the worst possible option for the taxpayer without consulting members of the Dáil.

He also accused the Green Party of rolling over on yet another policy issue.

Deputy Morgan said:

“This Government has signed up to the worse possible option for the taxpayer, without consulting with public representatives, with who this decision-making should be charged.

“We have seen Brian Lenihan on a crusade to Europe to secure the backing of the European Commission for the Government’s banking strategy but he has been too cowardly to consult with members of the Dáil and the people of this State.

“He has consulted with the Board of Anglo Irish Bank, the Central Bank, the National Treasury Management Agency, the Department of Finance and the EU Commission but the people’s voices remain unheard.

“And the Green Party has once again rolled over on a policy issue having just last week expressed a view that Anglo Irish Bank should be wound up.

“By Minister Lenihan’s own admission, Anglo Irish bank has not been open for lending since it was nationalised. This bank is putting a serious drain on our economy and vital public resources, for which this Government will try to compensate by slashing public services like health and education.

“Businesses and households throughout the State are crying out for credit; in the absence of any positive contributions to the economy in this regard, Anglo Irish needs to be wound down as soon as possible.

“Sinn Féin would have done things differently. We would have allowed Anglo Irish Bank to crash from the very beginning although we would have protected depositors. We would have allowed international bondholders to take the hit. These people are not children with piggy banks. They are gamblers that where in it for the profit and sometimes gamblers lose. It is they that should have taken the hit and not the Irish taxpayers.

“We have been calling from the beginning of this crisis for a state bank and it is not too late to nationalise AIB and BOI which would stabilise the Irish Banking system and facilitate sound growth in our economy.

“Lenihan made a huge mistake in bringing in the blanket guarantee in 2008 and I believe he did so because he was grossly inexperienced at the time because he was not long in the job.” ENDS