Alleged fraudulent use of customer accounts in a Bank of Ireland branch in Bagenalstown, Co Carlow, over a three-year period generated up to £1 million for a bank official, according to claims made in the High Court. When the accused official took two weeks' annual holidays in late June, the bank alleged it discovered that balances shown in the deposit books of some 40 customers did not tally with the bank's books and accounts. The bank official involved was dismissed by the bank yesterday; the bank has brought the matter to the attention of the Garda Fraud Squad. The Garda Press office said the Bank of Ireland has "made us aware of the situation". On Monday the bank obtained an interim injunction restraining the official, Mr Sean Kavanagh, from disposing of any of his assets below £500,000. The case is due to return to court next Monday when the bank will seek a permanent injunction preventing the official from dissipating assets. Bank of Ireland said it is carrying out a full review of all the accounts in the branch, particularly the accounts handled by the accused official.
"All the accounts will be verified and any discrepancies will be resolved," the bank spokesman said.
Bagenalstown was described by Bank of Ireland as a small to medium-sized rural branch with 10 employees. Mr Kavanagh has worked with Bank of Ireland for 22 years, 10 of them at Bagenalstown.