AIB loses €60m - Swindle or carelessness?

ANOTHER example of the recklessness that has got us to where we are came to light yesterday when it was revealed that Britain’s Serious Fraud Squad are investigating a possible loan swindle that may have cost Allied Irish Banks €60 million.

Conveniently, the bank couldn’t comment as the investigation is ongoing. It is known however, that last year AIB identified problems with one element of the security interests held on a portfolio of UK investment properties. The bank took control of the properties and later sold them, taking a €60m write down which was accounted for in its 2008 results.

Surely this huge loss could have been avoided if the bank did proper research. No wonder their shares are virtually worthless.