THE DEPARTMENT of Finance has advertised for people interested in being nominated or appointed to the boards of banks as part of the clear-out process.
The department is creating a pool of potential directors after Minister for Finance Michael Noonan announced plans last week to clear out the boards of the banks of the directors who were in place before the banking crisis.
This process “should ensure a high-calibre field from which directors may be chosen and makes the process more open and transparent”, the department said.
It was part of the programme for government “to restructure bank boards and replace directors who presided over failed lending practices”, the department said.
Individuals with experience in financial services at senior level in various backgrounds are sought for the roles. The areas are finance and economics; law; accountancy and auditing; credit management; insolvency and restructuring; project finance; banking and investment and risk; business and treasury management.
The department said all appointments would be subject to regulatory approval and must pass fitness and probity tests proposed by the Central Bank. The closing date for applications is May 12th.
Mr Noonan has asked the guaranteed banks for “renewal” plans showing how their boards and management would be replaced.
He said he did not hold directors personally culpable for what happened in the banks before September 2008, but that they should move on because the banking crisis “happened on their watch”.
The head of financial regulation Matthew Elderfield will carry out fitness and probity tests on senior bankers and directors who intend to stay on in their jobs next year.
Mr Elderfield will write to the boards of the banks after the consultation process on the Central Bank’s proposed fitness and probity regulations ends on May 20th.
Three AIB directors who were on the board before the crisis will resign at the next annual meeting.
Bank of Ireland has said it will provide a board renewal plan. Nine of the bank’s 14 board members have been in place since before the 2008 financial crisis.
