Anglo probe extended to end of year

THE High Court has extended the investigation by the Director of Corporate Enforcement and gardaí into Anglo Irish Bank to the end of this year.

The investigation, assisted by the Garda Bureau of Fraud Investigation, began almost two-and-a-half years ago after millions of files were seized from the bank in February 2009. On completion of the investigation it could take another two years to complete any criminal prosecution.

It is hoped the bulk of the investigation will be completed by the end of December while the enactment of new laws providing that reluctant witnesses in such investigations can be compelled to give evidence are imminent, the court heard.

Counsel for the Director of Public Prosecutions, Una Ní Raifeartaigh, told Mr Justice Peter Kelly yesterday she was in court to assist it on issues concerning the investigation and the DPP was acutely aware of the need for expedition in the probe.

The DPP had sought legal advice in relation to aspects of the probe as it progressed but did not intend to make a decision on whether to bring charges until the entire investigation was complete as there was overlap between strands of the investigation, counsel said.

This approach adopted meant decisions on charges, once the investigation was complete, could be made more speedily as the DPP would not have to deal with a “voluminous” file at the end of this year, she added.

Paul O’Higgins, counsel for the ODCE, told the judge substantial progress was being made in the probe and his client believed setting a deadline for completion of it could be “counter-productive”. The Serious Fraud Office in Britain allowed four to six years for such complex investigations but the Anglo investigation was ahead of that benchmark, it was stated.

Granting the extension, Mr Justice Kelly said the collapse of Anglo has had devastating consequences for individuals, the state and this country’s business reputation internationally requiring a comprehensive investigation.

The court was involved only because orders were required to allow for an extended power of seizure over documents taken from Anglo. The law required the court to be aware of the progress of the investigation.

That was why he had last May expressed misgivings about the progress of the probe, he said. He had now been told it was believed the bulk of the probe would be completed by the end of this year, subject to caveats.

Earlier, the judge heard a file concerning a loan to a particular Anglo director, sent to the DPP in December 2010, has been evaluated by the DPP and is with counsel for consideration.

A file on “back-to-back” deposit arrangements with Irish Life & Permanent for the benefit of Anglo at the end of its financial year in 2008 had been sent by the Garda fraud squad to the DPP who sent that to counsel, it was also stated. A second file on the issue was also sent to the DPP last May.