Whistleblower row to delay banking report

The whistleblower row which has rocked the banking inquiry will delay its final report into the collapse of Ireland’s financial system.

A marathon private meeting of the probe saw the deadline for its conclusions set back from November 30 due to a parallel investigation into aspects of the banking investigation.

Some members of the committee hope this will only delay publication by one or two weeks.

The delay will push the publication of the report closer to the general election campaign, which observers believe is most likely to be fought in February.

However, if an election is called in November it would kill the inquiry as the committee would be dissolved when the Oireachtas is.

Claims from a whistle-blower on the inquiry team that the Central Bank and Department of Finance were given preferential treatment by the investigation are currently being looked into.

Members of the committee also agreed to make former Anglo boss David Drumm’s written evidence public after refusing his offer to give testimony by video-link.

After days of public wrangling, the Oireachtas committee probing the financial collapse accepted legal advice not to give special treatment to Mr Drumm.

Mr Drumm’s written submission contradicts that of ex-taoiseach Brian Cowen and is now to be put in the public domain. However, the committee has decided that witnesses who have been contradicted by him will have a right to reply.

Mr Drumm had been pencilled in to be questioned by the inquiry today, but the Director of Public Prosecutions, and the probe’s legal team, advised against such a move.

The inquiry was advised that because Drumm remained outside the jurisdiction, that laws allowing criminal sanction against a witness would be voided.

The DPP’s office said it would be “highly concerned” about such a move, and reserved the right to take legal action regarding the situation.

Drumm, who gave no formal reason for refusing to attend in person, has remained in the US despite the fact the gardaí are seeking to question him.

Mr Cowen insisted while giving evidence to the committee last month that he did not discuss banking at a dinner with senior Anglo figures in April 2008.

The ex-taoiseach said that the event was purely social and he did not talk about the growing financial crisis with members of the Anglo board that were present.

However, in his written evidence to the inquiry, Mr Drumm says that he sat next to Mr Cowen at the dinner and the pair did discuss banking issues.

The whistleblower who provoked the inquiry into the inquiry has claimed that their salary has been cut since the allegations regarding the workings of the committee were made.

The probe has been dogged by controversy since its inception, with Taosieach Enda Kenny appointing two extra members to its ranks to ensure that the Coalition retained a majority on the investigation, despite assurances that it would act in a non party-political way.

Some senior Fianna Fáil figures have accused the Government of intending the exercise as a “show trial” for the past administration in the run-up to the looming general election.

Former tánaiste Mary Harney, and Green ex-Cabinet minister John Gormley are set to give evidence to the probe today.