TRIAL OF FORMER ANGLO EXECUTIVES CONTINUES
The prosecution in the trial of 3 former Anglo Irish Bank executives claims Sean FitzPatrick knew and failed to stop an illegal scheme to lend money to buy shares in the bank.
The jury’s heard there will be evidence that in July 2008, over 600 million euro was lent out to the family of former billionaire Sean Quinn and to the Maple Ten of supposedly high net worth investors.
The prosecution’s told the jury Anglo Irish Bank found out in 2007 that businessman Sean Quinn had accrued 25 % of the bank’s stock by way of an extraordinary form of gambling known as contract for differences.
Opening the case, barrister Paul O’Higgins said Sean Quinn’s borrowing with Anglo reached over 2 billion as the bank began to lend him money to meet his margin calls on the falling share price.
Concerned by this Anglo unsuccessfully sought new investors to take over or unwind Mr Quinn’s interest in the bank.
Mr O’Higgins claims that in the difficult financial market of 2008, Anglo took the illegal step of offering to lend money to buy approx 10 % of the bank’s shareholding to members of the Quinn family and a group of investors known as the Maple ten
He says this was not borrowing in the ordinary course of a bank’s business.
It’s the prosecution’s case Pat Whelan was very invoved in the transactions, Willie McAteer was involved but not that involved while chairman Sean Fitzpatrick knew about the scheme and didn’t stop it.