Anglo Irish Bank lent Sean Fitzpatrick’s son David $50,000 against his New York apartment after the bank had been bailed out by the State, reported The Sunday Independent.
Posts Tagged ‘banks’
AIB is facing virtual nationalisation because of new rules on bank reserves proposed by The Financial Regulator, The Sunday Times reports. Such an action would mean taxpayers would be forced to invest billions more than they have already to keep the bank afloat.
Meanwhile, Nama officially becomes a reality today when the first tranche of loans are transferred from Irish Nationwide. All of the Sunday’s speculate the original haircut of 35% will now look more like a skinhead, with discounts of up to 60% being paid by the state on these loans.
The rest of the week will likely be filled with banking news as the full extent of the Nama bailout strategy becomes fully apparent. Guestimates range anywhere between €25 billion and €40 billion depending which commentator you choose to believe – whatever the final bill, taxpayers can expect to be footing it for generations to come.
The “big bang” is the theory that astronomers and physicists use to explain the formation of the universe. It is not a phrase you would ordinarily expect to find on the finance pages of the national newspapers but it has taken up residence there over the past few weeks as we await a series of announcements that will shape the banking sector, and thus the economy, of this country for the foreseeable future. There will be a statement from Nama (National Asset Management Agency) on the amount it plans to pay for the first €17 billion of bad debts it will accept from the banks.
The headlines just seem to get worse and worse for the taxpayer-owned bank. The latest lurid story involves an alleged €2bn, Mafia money-laundering scheme.
The state’s biggest retail bank, AIB, operated special units to advance huge loans to property developers independently of its branch network, The Sunday Tribune reports.