Ernst & Young loses bid to halt Anglo probe

ACCOUNTANCY firm Ernst & Young has lost its High Court bid to halt the investigation into its conduct as auditors to Anglo Irish Bank when dealing with alleged inappropriate loans to directors of the bank.

Ms Justice Mary Irvine ruled yesterday the firm was out of time and had shown no arguable grounds entitling it to bring proceedings to “effectively torpedo and thus fatally terminate” the two-year investigation by special investigator John Purcell, appointed by the Institute of Chartered Accountants (ICAI) regulatory body (CARB) in early 2009.

She also ruled the firm had advanced no arguable case for proceedings to prevent a report by forensic accountants FTI into the conduct of Ernst & Young as auditors to Anglo being forwarded to CARB in the event of a finding by Mr Purcell of a prima facie case that Ernst & Young is liable to disciplinary action.