Council of State set to meet over banking bill

PRESIDENT Mary McAleese has called a meeting next Tuesday of the Council of State to consider the Credit Institutions (Stabilisation) Bill on the reform of the banking sector.

Under the constitution, the President may call such a meeting of the Council of State, which includes Taoiseach Brian Cowen, High Court President Nicholas Kearns and Attorney General Paul Gallagher, to discuss a bill before either signing it or opting to refer it to the Supreme Court.

The Dáil has passed the bill, which instructs financial institutions to sell assets and impose losses on banks’ subordinated creditors as part of an agreement with the European Union and IMF to restructure the country’s banking system.