Morrogh collapse could result in overhaul of investor compensation law

THE fallout from the plundering of more than €5 million from the clients of failed stockbrokers W&R Morrogh is expected to result in a massive overhaul of investor compensation law in Ireland.

The biggest losers from the closure of the Cork firm will be Irish Stockbrokers who have to fund more than €10 million in compensation to be paid out to clients of the failed firm through the Central Bank’s Investor Compensation Company Limited (ICCL).

Morrogh clients will have the bulk of their losses covered in compensation payments and from the funds and shares recovered by the receiver Tom Grace of PricewaterhouseCoopers.