FG: Case reveals fatal flaw in NAMA structure

THE Carroll case judgment exposes a “fatal flaw” in the structure of NAMA which could end up seeing the taxpayer forking out billions of euro over the odds for bad land debts, Fine Gael warned last night.

The party’s finance spokesman Richard Bruton rubbished Government “complacency” as he insisted the ruling brought starkly into focus the concern that property prices may never recover their losses.

Mr Bruton fears the taxpayer will pay far too much for the €90bn bad debts to be absorbed into the National Assets Management Agency (NAMA) as valuation will be calculated on the assumption the land will rise steeply in value again.