Independent Alliance rebuked over plot to have banks’ assets frozen

The Independent Alliance (IA) sought this week to have the assets of the banks frozen and their banking licences revoked over the tracker mortgage scandal, only to be rebuked strongly by Finance Minister Paschal Donohoe, the Irish Examiner can confirm.

In robust exchanges behind closed doors with Transport Minister Shane Ross and junior jobs minister John Halligan, Mr Donohoe warned that they risked “causing a run on the banks” were they to publicly demand such a move.

The stand-off occurred on Tuesday as Mr Donohoe was finalising his meetings with the commercial banks and it has been confirmed that he requested forcibly that they pull back from issuing such a statement.