AIB admits tax evasion link

AIB has admitted that one of its subsidiaries was involved in tax evasion with an overseas investment company in the 1990s.

The bank said dealings between its subsidiary, AIB Investment Managers Ltd. And Faldor Ltd., based in the Virgin Islands, took place between 1989 and 1996.

It stated the funders and beneficiaries of Faldor were five former senior executives of AIB, and that it alerted the Irish Financial Services Regulatory Authority once it became aware of the issue last September.

Following an investigation, AIB has said that the tax evasion, including interest and penalties, amounted to €800,000.