Former NIB chief denies he knew of bogus accounts

FORMER National Irish Bank CEO Jim Lacey has denied before the High Court that he was “well aware” bogus non-resident accounts were a wide- spread problem at the bank during his tenure and that it was “impossible” he could not have known about it.

Serious problems with non-resident accounts in the bank’s Castlebar branch highlighted in an internal audit report of October 1993 did not mean there were similar problems across NIB branches, he said.

Mr Lacey denied suggestions senior management in NIB never required branch managers to explain how such accounts came about but rather asked for and secured “bland assurances” the matter would be addressed. There was a very clear follow-up system, he said.