Ireland has launched an attempt to extradite the ex-chief of rogue lender Anglo Irish Bank after he failed to be declared bankrupt in the US.
David Drumm moved to Massachusetts in 2009, six months after resigning as chief executive of the now defunct bank.
Along with two others, he stood down after hundreds of millions in directors’ loans were uncovered.
The 48-year-old has since refused to return to Ireland to be questioned about the events leading to the collapse of the bank, which was later nationalised before being wound up.
Mr Drumm fought a four-year legal battle in Boston to write off his own debts of €10.5m.
But a US bankruptcy court rejected his claims yesterday in no uncertain terms, ruling the ex-banker was “not remotely credible”.
During the proceedings, the Irish Bank Resolution Corporation – formerly Anglo Irish Bank – fought his claims for bankruptcy.
The institution, which is being liquidated, is owed €9m by Mr Drumm.
It claimed he had knowingly and fraudulently put assets beyond the reach of his creditors, mostly by transferring them to his wife.
The judgment leaves him facing financial ruin.
Separately, the Director of Public Prosecutions has recommended a number of charges against Mr Drumm after a years-long probe into Anglo Irish Bank by the Garda Bureau of Fraud Investigation and the Director of Corporate Enforcement.
It is understood a formal extradition request has been sent through diplomatic channels from Dublin to Washington.
Senator Averil Power said she has written to US Secretary of State John Kerry urging that Mr Drumm’s visa be revoked immediately.