Opposition welcomes AIB decision to withhold bonuses

THE opposition last night welcomed AIB’s decision not to pay €40m in bonuses to staff, but said the bank and the Government had to be “shamed” into acting on the issue.

AIB had initially felt obligated to pay the monies, but reversed its stance after receiving a letter on the issue from Finance Minister Brian Lenihan.

Fine Gael deputy leader James Reilly said Mr Lenihan had “belatedly and reluctantly caved in to public outrage and opposition pressure” over the issue. He described the issue as yet another “debacle” of the Government’s own making which could easily have been avoided.