A JUDGE in Boston has ruled that former chief executive of Anglo Irish Bank David Drumm can be questioned about his residency status in the US.

The judge in the Boston bankruptcy court has said Mr Drumm must supply documents that are being sought by Anglo in relation to his residency and a range of other matters.

Following the bank’s request that it be allowed question Mr Drumm on such matters, he objected and said the bank was operating to the political motives of Minister for Finance Brian Lenihan and wanted to subject him to the spectacle of a public trial. He asked that the request be denied or severely constrained.

Judge Frank Bailey has made a ruling in the matter stipulating the type of questioning Mr Drumm must respond to and the documents he must produce. He has also set out dates for the process, which is due to begin in the offices of a Boston law firm tomorrow.

The trustee in the case Kathleen Dwyer will question Mr Drumm tomorrow after which Anglo will be allowed put questions to him at the offices of its law firm on a date between January 2nd and 14th.

Mr Drumm will have to produce the documents being sought by December 21st. Ms Dwyer, or her counsel, may attend the deposition in the Anglo legal firm’s offices.

In a surprise development, Ms Dwyer has agreed to retain Michael Epstein and his New York restructuring firm CRG Partners - whom Anglo had sought to appoint as trustee in the case instead of the appointed trustee.

Anglo has agreed not to proceed with its challenge seeking to replace Ms Dwyer who, as trustee, has agreed to hire Mr Epstein’s firm as advisers to investigate Mr Drumm’s financial affairs on pay rates of up to $675 per hour, according to new court filings.

In her questioning of Mr Drumm, Ms Dwyer can ask him about the source of his income, his use of his income since 2004, and his use of any loans he received, from Anglo or elsewhere. She can also ask him about his pension, his Irish and US properties, his dealings with his wife, her income and his residency status in the US.

The bank has raised queries as to how he could have forwarded substantial loans to his wife and asked what income she has that would allow him believe she could repay the money. It has also sought information as to her contribution to the family budget.

Mr Drumm must produce documents relating to his property dealings, his bank account statements, loans he said he has received from his wife, and his residency status in the US. Mr Drumm is in the US using a visa normally reserved for persons who are making substantial investments in a business in the US which they will run.

Ms Dwyer has asked the court’s permission to engage Michael Lavelle of Dublin insolvency firm Lavelle Coleman on her legal team.