NEITHER BUSINESSMAN Sean Quinn nor any member of his family will individually hold a stake of more than 10 per cent in Anglo Irish Bank when they collectively acquire a stake of almost 15 per cent in the bank.

The Quinn family said in a statement last week they were "unwinding" their interests in Anglo through contracts for difference (CFD), a form of share derivative, and individual family members were purchasing shares, giving the family a stake of almost 15 per cent in the bank. The transaction will make the family the largest shareholder in the bank.

Newspaper reports yesterday suggested the family may need approval from the Financial Regulator to complete the acquisition of the stake on the basis they could have "significant influence" over the management of the bank.

Under European banking rules, the Financial Regulator must scrutinise any transaction that leads to a shareholder building a stake in a bank to a "qualifying holding" where they have 10 per cent or more of the bank's shareholding or voting rights, or where it is possible for the shareholder "to exercise a significant influence" over the management of the bank.

It is understood that neither Mr Quinn or any member of his family will individually hold a stake of more than 10 per cent in Anglo, though the Sunday Times reported that even in this scenario the family may have to prove they are not acting in concert if they are to avoid the approval process.

A spokesman for Mr Quinn declined to comment.

No announcement has yet been made to the stock exchange to show Mr Quinn and his family have completed the conversion of their CFD interests into shares.

A spokesman for the regulator also declined to comment. The regulator is unlikely to examine the transaction until the stock exchange has been notified.

The Sunday Business Post reported that Anglo agreed to provide a loan to Mr Quinn's group two weeks before his announcement that he had planned to acquire the stake in the bank.

Mr Quinn's company, Quinn Quarries, granted the loan charge secured on shares in another of his subsidiaries, Quinn Group (ROI).

Documents filed in the Companies Registration Office do not disclose the size of the loan.

Anglo does not comment on its shareholders or their dealings.

Mr Quinn has been a long-time supporter of Anglo and his group has borrowed from the bank in the past. The businessman has interests in cement, insurance, glassmaking, energy and stockbroking.