More than €175,000 per year paid to 19 Pre-Crash Anglo Executives
Sinn Fein Finance Spokesperson Pearse Doherty TD has today called on the Government to explain why 22 of the top 50 pre-nationalisation senior executives in Anglo Irish Bank are still in post today and why 19 of these are earning salaries in excess of €175,000 per year. The call comes following information released by the Department of Finance to Deputy Doherty in a parliamentary question.
Deputy Doherty said:
“The public will be angered by the news that 22 of the top 50 executives in pre-nationalisation Anglo Irish Bank are still employed by the Bank today. These individuals all played a part in the running of the bank in the years leading to its effective collapse and subsequent nationalisation. That these individuals are still employed, at the people’s expense in an outrage.
“Worse still are the massive salaries being paid to nineteen of these individuals. Information given to me by the Department of Finance states that these individuals are receiving salaries in excess of €175,000 per year. This figure does not include any possible bonuses or pension contributions received.
“These are the individuals that behaved recklessly, churning out endless high risk loans to developers even after it was clear that the property market was in a downward spiral. These people were also at the helm of Anglo when loans in excess of €450 million were being handed out to Anglo customers in a completely improper attempt to stabilise the share price of the company.
“The cost to the public of their reckless behaviour is now in excess of €75 billion. The human cost of this enormous debt is being born by ordinary people through increased charges on working families, cuts to vital front line services and cuts to social welfare payments.
“Considering the damage these people inflicted on Anglo Irish Bank and the Irish economy and the massive cost to the citizens of this State, the fact that they have jobs at all, let alone massive salaries it completely unacceptable.
“The Minister for Finance Michael Noonan and the Chairman of Anglo Alan Dukes must explain why these people have remained in post and why there are in receipt of such massive salaries.’ ENDS
To ask the Minister for Finance the number of the persons employed in the 50 most senior positions in Anglo Irish Bank pre-nationalisation are currently still employed by Anglo Irish Bank or any of its subsidiaries; the position and responsibilities they held pre-nationalisation and the positions and responsibilities that they hold within the bank currently; and the number of these that earn over €175,000 a year..
- Gerry Adams. (Nominated by: Pearse Doherty).
For ORAL answer on Wednesday, 5th October, 2011.
Ref No: 27658/11
Minister for Finance ( Mr Noonan) : As the Deputy is aware the Board of the bank is responsible for the day to day operations of the bank including the remuneration of staff other than senior management of the bank. The Bank have has informed me that their Legal advice dictates that the bank can respond to this question in general terms only and is not in a position to provide any personal information or information that would lead to the identification of any individuals employed by the Bank.
However, the bank has indicated that since nationalisation there has been an extensive re-structuring of the governance and management of Anglo Irish Bank. None of the current executive or non executive directors of the Bank were involved with the Bank prior to nationalisation. None of the direct reports into the Group Chief Executive, Mike Aynsley, were direct reports to the previous Chief Executive at the end of 2008. Of the 50 most senior people employed pre-nationalisation, 28 have since left the Bank. Of the remaining 22 people, the majority now have different roles and responsibilities to those held pre-nationalisation, as the principal role of the Bank has become that of an asset recovery vehicle. Of the 22 individuals remaining, 19 have a base salary in excess of €175,000.