AIB Investigation – Action is needed to end scandals
In this scandal, the latest in a series of them, the finger has been pointed at former and current senior executives in relation to irregularities and their connection with offshore accounts.
According to a statement from the bank, five former senior executives had offshore accounts in an investment company managed by the bank’s offshore wing, AIB Investment Managers. In the case of three current senior executives, the bank found nine transactions that it says involved “unacceptable” practices.
Two consequent investigations carried out by the bank in conjunction with the Irish Financial Services Regulatory Authority (IFSRA) established that there was a breach of tax law in relation to the investment company Faldor, the funders and beneficiaries of which were the five former executives.
Disciplinary measures were taken by the bank, and it is committed to pay restitution to affected clients, but that cannot be the end of the affair.
There are obviously breaches of the tax laws involved which must be investigated by the gardaí and the fullest vigour of the law applied to those found guilty.
Much lip service has been paid to cleaning up the financial sector in the sense of making it more accountable and giving extra teeth to IFSRA along with the legislation to enforce it.
This latest revealed scandal is an opportunity for the Government to show that it at last means business.
