Credit union claims Davy made €5.3m secret profit

Waterford Credit Union has claimed a stockbroking firm made a secret profit on €5.3m it gave to the firm to invest.

The credit union is suing J&E Davy over the investment which was put into an AIB Step-up Perpetual bond, a Barclays Bank Step-up Perpetual bond, a Jyske Bank bond, and a Nordea Bank AB bond, between January 2005 and August 2006.

The High Court action followed an investigation by the Irish Stock Exchange which, in 2009, found breaches of business rules by Davy Stockbrokers.