Anglo loans ‘overcharged by €500m’

Explosive allegations against Anglo Irish Bank of fraudulently overcharging the interest it charged on loans by as much as €500m are contained in papers filed to a US court.

The case involves an action taken by former property developer John Flynn in a Delaware court to prevent the liquidation of Anglo’s successor, the Irish Bank Resolution Corporation’s estimated €1bn assets in the US.

Mr Flynn has separately filed an action in a New York court against IBRC alleging that he was overcharged on loans he had with Anglo.