Northern Bank may withdraw banknotes

The crisis-hit Northern Bank may withdraw all its banknotes in a desperate attempt to foil the gang which cleared the Belfast headquarters of a record £22m (€31.2m), it was revealed today.

Chief executive Don Price is considering taking the drastic action to phase out up to £30m (€42.6m) in old money and introduce completely new printed tender.

The bank’s 400,000 customers would have their £5, £10, £20, £50 and £100 notes replaced, ending any chance the criminals might have of filtering the missing money undetected into the Northern Ireland economy.

It would involve a hugely expensive and complex operation, the first in the history of banking, which will need Bank of England approval.

But with the Northern left seriously embarrassed by the affair and no sign of a major breakthrough in the police investigation, senior staff could be prepared to make an unprecedented move to thwart the gang and at the same time restore public confidence in its management.

It is also believed that police chiefs heading the manhunt have urged the bank to think seriously about agreeing to such an option.

Any decision to go ahead will have to be taken early next month.

But a bank spokesman confirmed today: “It is something under very, very serious consideration. At this stage I should stress it’s still an option, one of a number we are examining, and no decision has been taken.”

He added: “Whatever happens, all existing notes will be honoured. If this does happen, it is something that will be phased in over a period of time, in the same way the euro was introduced in the Irish Republic.

“Nobody will be losing out. Nobody will be out of pocket except the robbers.”

More than half the stolen £22m was in new notes and shops across Northern Ireland are on full alert in advance of the start of tomorrow’s Christmas and New Year sales when the gang may attempt to begin shifting some of the old money across the counter.

Northern Ireland chief constable Hugh Orde is under serious pressure to catch the gang and even though republicans have rejected claims that the IRA was involved in last Monday night’s daring raid, the police are clearly focusing their attention on the movements of senior provisionals.

The homes of two republicans, one a former prisoner, have been searched in West and North Belfast but no money was found and no arrests made.

Eddie Copeland’s three-storey terrace house in the city’s Ardoyne area was searched yesterday and 16 pairs of shoes, four mobile phones and chips for a digital camera were taken away.

Officers spent over two hours checking every room as well as 30 wrapped Christmas presents as he protested his innocence.

Mr Copeland, 34, said: “They had no reason to come here because I have nothing to fear. They deliberately targeted me because they know I’m a republican. It’s politically motivated and they are trying to make out republicans are behind this robbery.”

Sinn Féin president Gerry Adams has complained to Northern Ireland Secretary Paul Murphy about the police raids.

Mr Adams said: “This was clearly an orchestrated event by the ‘securocrats’ in the British system who are intent on wrecking the peace process.”

He added: “There is widespread anger among nationalists and republicans. The objective of those who ordered these raids and the heavy-handed and aggressive manner in which they were carried out is deliberately intended to further destabilise the political situation.”

But if police do establish a definite link with the IRA, then British Prime Minister Tony Blair’s hopes of involving Sinn Féin in the restoration of a power-sharing executive in Belfast will be blown sky high.

Unionists warned today that Mr Adams and Martin McGuinness must be shown the door if republicans fingerprints are found on the missing millions.

Ian Paisley Junior, a member of his father’s Democratic Unionist Party, said: “I think the IRA was involved. I’d be very surprised if they were not.

“So here we have Sinn Féin involved in negotiations for the future governance of this country while the IRA was obviously planning a raid and what to do with all this money. How can any process have credibility with that going on? They must be punished.”