Ireland

Three former Anglo Irish Bank directors were aware of a “choreographed” and “absolutely illegal” scheme to fund the buying of shares in the bank, the jury was told on the opening day of the bankers’ trial yesterday, the Irish Times reported. Seán FitzPatrick (65), William McAteer (63) and Pat Whelan (51) are accused of providing unlawful financial assistance to members of businessman Seán Quinn’s family and the so-called Maple 10, a trusted group of Anglo borrowers, to buy shares in Anglo in July 2008.

AIB is set to write off debt immediately for homeowners in arrears who are deemed eligible for a new split mortgage product, the Irish Times reported. Under the plan disclosed last night, a customer deemed eligible for a split mortgage will have the loan broken into two tranches. The first part, which the customer will be expected to repay, will be based on the current market value of their home, while the other will be warehoused, interest free, for settlement at a later date.

Mike Ashley, the billionaire owner of Newcastle United football club, flew into Dublin over the weekend as part of a last- ditch bid to prevent the proposed sale of Elverys Sports to its management and other investors, the Irish Times reported. Mr Ashley controls the listed UK retailer Sports Direct, which owns a 50 per cent stake in Heatons, the Irish department store chain. Heatons wants to buy Elverys, which is close to finalising a deal, backed by the National Asset Management Agency (Nama), to be bought out by a consortium assembled by the advisory firm Capnua.

Mayo-based Elverys Sports is set to be placed into receivership before being acquired by the company’s management team with the backing of investors brought to the deal by Dublin-based corporate finance house Capnua. This will secure the 650 jobs at the 55 Elverys outlets across the country but will result in the current owners, Mayo brothers John and James Staunton, no longer being involved in the business, the Irish Times reported.

AIB has raised with the Government the issue of bank bonuses being reinstated and the cap on pay for executives being lifted, the Irish Times reported. It is understood that the matter was raised with officials at the Department of Finance earlier this month by AIB chairman David Hodgkinson and Jim O’Hara, who chairs the bank’s remuneration committee. The Department of Finance confirmed yesterday that the matter had been discussed but declined to comment further.

The creditors of liquidated stockbroking firm Bloxham could get 40 per cent of what they are owed, rather than 10 per cent, if the liquidator wins his challenge to the Irish Stock Exchange’s decision to revoke its membership, the High Court has heard. The firm’s largest creditors include National Irish Bank, owed €8.5 million, and the Revenue Commissioners, owed €2.3 million, the Irish Times reported.

The National Asset Management Agency (Nama) last night announced a new tender for servicing any remaining IBRC commercial loans not sold by Anglo Irish Bank’s special liquidator KPMG, the Irish Times reported. In July 2013, Certus, the largest bank services outsourcing company in Ireland, was named as the preferred bidder to manage these loans, which then stood at €22 billion. Certus said at the time it expected to create up to 300 new jobs as a result. However, the success of the KPMG sale process has fundamentally changed the proposed contract.

Troubled building group Siac’s main shareholders, the Feighery family, will take control of the business with the backing of a French-owned construction-related business and a private investment company, it was confirmed yesterday, the Irish Times reported. The High Court appointed Michael McAteer of Grant Thornton as examiner to Siac Construction and eight related companies late last year, giving them protection from creditors, including three banks owed €42 million and suppliers owed €26 million.

A consortium backed by French giant, Bouygues, looks poised to take over troubled building group, Siac, after the original preferred bidder for the company, businessman Brian Harvey, decided against going ahead with an offer, the Irish Times reported. The High Court appointed Michael McAteer of Grant Thornton as examiner to Siac Construction and eight related companies late last year, giving them protection from creditors, including three banks owed €42 million.

The board of Permanent TSB is targeting a return to profitability for its “good bank” retail arm by 2016 and a full or part-return to private ownership by “2017 or earlier”. It also plans to begin deleveraging non-core assets this year, the Irish Times reported. The plans have emerged from an investor presentation given on January 7th by chief executive Jeremy Masding and group treasurer Kieran Bristow.