Top investigator to report on AIB

The Board of Directors of Allied Irish Bank have appointed a top US expert to lead the investigation into the loss of $750m through its American subsidiary Allfirst.

The board has asked Eugene A Ludwig to head the investigation. He will report back to the board within 30 days.

Mr Ludwig has an excellent reputation within the United States and is a former Comptroller of the US currency. He is credited with reviving the flagging US banking system after he was appointed to the post by former US President, Bill Clinton.

The investigation will focus on four specific areas - establishing the facts, describing the procedures that were in place during the fraud, reporting on the manner in which they were implemented and making recommendations to the Board.

The AIB Board has confirmed that it will not take any action until the report has been completed.