Longest trial in Irish history ends, three senior Irish bank officials jailed over fraud during 2008 financial crisis

irisrDUBLIN, Ireland – A conspiracy to defraud investors during the the 2008 banking crisis has resulted in the jailing of three senior Irish bankers, on Friday, for up to 8 years in total.

According to reports, Irish Life & Permanent Plc’s former chief executive officer, Denis Casey, and two former executives at Anglo Irish Bank Corp., Willie McAteer and John Bowe, were convicted in June 2016 and pleaded innocent, but to no avail.

Following the crisis, the Anglo Irish Bank required to be bailed out by the Irish government in 2009, with costs to taxpayers amounting to 30 billion Euros in the biggest state bank rescue in the euro zone.

Casey has been sentenced to two years and nine months while Bowe received a two-year sentence. McAteer will serve three years and six months, in culmination of the longest trial in Ireland’s history.

McAteer had also previously been convicted of providing unlawful loans from Anglo Irish Bank to ten property developers, breaching Section 60 of the Companies Act.

The circular transaction scheme to boost the Bank’s balance sheet was described as “deceitful, dishonest and corrupt” by Judge Martin Nolan that deceived the markets of 7 billion Euros in “sham transactions.”

The transactions were accounted for on the bank’s end-of-year balance sheet as customer deposits instead of an inter-bank loan.

Judge Nolan said that both blue chip companies had conspired to manipulate public accounts, and added that investors “are entitled to rely on honesty and integrity. In this case honesty and integrity were sorely lacking.”

He continued, “The public is entitled to rely on the probity of blue chip firms. If we can’t rely on the probity of these banks we lose all hope or trust in institutions.”

The defendants, none of whom reacted overtly, are to be detained in the country’s largest, Mountjoy Prison.

Their lawyers argued that their motivation in authorising the deal was the “green jersey” agenda – the financial regulator’s request for Irish banks to support one another as the crisis worsened.

The bank, described as “probably the most reviled institution in the state,” was liquidated in 2013, and can still face criminal trials.

Culled from Big News Network

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About Cholo Brooks 15592 Articles
Joel Cholo Brooks is a Liberian journalist who previously worked for several international news outlets including the BBC African Service. He is the CEO of the Global News Network which publishes two local weeklies, The Star and The GNN-Liberia Newspapers. He is a member of the Press Union Of Liberia (PUL) since 1986, and several other international organizations of journalists, and is currently contributing to the South Africa Broadcasting Corporation as Liberia Correspondent.