Central Bank calls for law on bank appointments veto

THE Central Bank’s veto over senior banking appointments needs to be underpinned with new legislation, attendees heard at yesterday’s Mazars Banking Conference in Dublin.

Central Bank assistant director general for Financial Institutions Supervision, Jonathan McMahon, said his unit would continue to block unsuitable appointments. He also said supervisors will make more frequent checks of the banks’ board-level evaluations of remuneration practices.

“We are learning from other countries that a robust regime for the approval and supervision of individuals is an effective way to enforce high governance, risk management and business standards. We have requested equivalent legislation, based on clear fitness and probity standards, be introduced in Ireland,” he said.