The Central Bank is currently investigating 29 firms under its administrative sanctions procedure which can see huge fines levied on firms.
In response to a parliamentary question from Fianna Fáil’s finance spokesperson, Michael McGrath, the Minister for Finance, Michael Noonan, said that the regulator was investigating a wide range of cases, but focusing in particular on breach of professional indemnity insurance requirements.
“I have been further informed by the Central Bank that its Enforcement Division currently has 29 open administrative sanctions procedure cases. These open cases cover the range of areas of the Central Bank’s supervisory responsibility. The issues under investigation also broadly align with the Central Bank’s public statement of its enforcement priorities,” he said.
Already this year the regulator has levied fines worth more than €500,000 on financial institutions operating in Ireland.
“In 2014 to date, I have been informed that the Central Bank has concluded four administrative sanctions procedure cases, imposing fines totalling €575,640. The cases dealt with issues including breaches of large exposure requirements, capital adequacy requirements, the insurance mediation regulations and Markets in Financial Instruments Directive regulations.
Detailed publicity statements in relation to three of these cases are available on the Central Bank’s website. With regard to the fourth, relating to a breach of professional indemnity insurance requirements, I have been informed by the Central Bank that this is one of a number of cases relating to a particular enforcement theme and a publicity statement relating to this case along with other cases dealing with the same enforcement theme will issue as a batch later in the year,” Mr Noonan said.
Mr McGrath said now that the Central Bank was adequately resourced it should be ensuring that consumers are fully protected. “The Central bank is well resourced and I’m glad to see them undertaking this activity. It is worrying that so many investigations of the breach in legislation are under way.”
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