Two Anglo directors acquitted of some charges against them

The former chairman of Anglo Irish Bank, Seán FitzPatrick, was acquitted of six allegations facing him at the Dublin Circuit Criminal Court yesterday.

In addition, former Anglo head of lending in Ireland Pat Whelan was acquitted of seven allegations.

Judge Martin Nolan told the jury in the trial of Mr FitzPatrick, Mr Whelan and William McAteer, former director of finance, he would be directing them to find Mr Whelan and Mr FitzPatrick not guilty of 13 of the allegations they had faced.

Seven charges faced by Mr Whelan related to the fraudulent alteration of loan facility letters at the bank, and six charges against former chairman Mr FitzPatrick are affected.

Letters
The two still face other charges brought against them. Mr Whelan had been charged with being privy to the fraudulent alteration of loan facility letters to seven individuals.

The jury had heard that the “Maple 10” businessmen were provided with facility letters on or around July 11th, 2008, which offered them loans that were used to buy shares in the bank.

The conditions of the loans included that if they were defaulted on, the bank would be able to pursue the individuals personally for 25 per cent of the outstanding money owed, known as 25 per cent recourse.

The court had heard that in October 2008 new loan facility letters were sent to seven of the borrowers changing the conditions to include zero recourse. The letters were dated July 17th and signed by Mr Whelan.

The court had also heard the Quinns were lent €170 million to buy almost 15 per cent of the bank’s shares in July 2008. Mr FitzPatrick, along with defendants Mr Whelan and Mr McAteer, was charged with six counts of unlawfully providing assistance to them to buy the shares.

Decision
The judge told the jury yesterday that while they were away he had made a decision to direct the not guilty verdicts.

The charges of 10 counts of providing unlawful financial assistance to 10 individuals, the Maple 10, in July 2008 to buy shares in the bank, contrary to section 60 of the Companies Act against Mr FitzPatrick (65) of Greystones, Co Wicklow; Mr McAteer (63) of Rathgar, Dublin; and Mr Whelan (51) of Malahide, Dublin, remain to be faced by all three men.

Mr McAteer and Mr Whelan also still face six counts of providing unlawful financial assistance to six members of the Quinn family.