Financial Regulator to investigate credit union ‘irregularities’

FRESH controversy regarding the lending practices at credit unions has arisen, with news that the Financial Regulator is to investigate alleged irregularities at a Co Kilkenny branch.

The regulator said yesterday that it has become aware of issues that have arisen in connection with the financial affairs of Dunnamaggin Credit Union in Co Kilkenny. It went on to say that it now intends to appoint independent inspectors “in accordance with the provisions of the Credit Union Act of 1997, to investigate the affairs of the credit union more fully”.

It is understood that the issues relate to irregularities concerning loans to branch members. No further details are known as yet. However, the Financial Regulator also moved quickly to reassure concerned customers, saying that their savings are safe.