AIB case against own executives

A HIGH Court action by AIB against six senior executives accused of secretly scheming to take over the clients, business and staff of the bank’s international financial services business for their own gain has been adjourned until next week.

The bank alleges the six executives were behind a management buyout offer for AIB International Financial Services (IFS).

It alleges they turned to “Plan B” by setting up a rival business to take over the clients, business and staff of IFS when AIB decided to sell the business to Capita in June.

The six executives are Pat Diamond from Elton Park, Sandycove, Co Dublin; Aidan Foley, formerly of Grawn, Kilmacthomas, Co Wexford; Gerry McEvoy formerly of Shandon Park, Phibsboro, Co Dublin; Derek O’Reilly, of Fernleigh Drive Castleknock, Co Dublin; Andrew O’Shea, formerly of Ashbrook House, Julianstown, Co Meath; and Joe Walsh, formerly of Grosvenor Terrace, Monkstown, Co Dublin.

The court was told that after 25 directors and employees left AIB between June and August, Capita reduced its €55 million offer for IFS to €33m.

AIB also claims an internal inquiry revealed their actions led to significant loss and damage.

Yesterday at the High Court, Mr Justice Frank Clarke was informed the matter could be adjourned to allow all the parties who had not already done so to file affidavits outlining their positions.

The court was informed that all the executives gave undertakings that they would not solicit, canvas or try to contact AIB clients or those who were clients as of July 14 last.

An order to preserve all documents and computer records pending the full trial was also continued.

The court also heard yesterday that one of the six executives, Mr O’Shea, intends to take an action dismissing AIB’s action.

Mr Justice Clarke adjourned all matters until next Tuesday.