Lenihan issues rules to go with €485bn liability scheme

BANKS will have to comply with a series of rules relating to officials’ pay and will have at least one director appointed to their boards to look after the taxpayer’s interest, Finance Minister Brian Lenihan said last night.

The scheme guarantees about €485 billion worth of liabilities for the six Irish-owned banks and five mostly British banks with significant retail operations in the country.

But Mr Lenihan ruled out capping the pay of bank chiefs and insisted the panel of directors he would appoint, from which the banks could select a director, would be independent.