No charges in Anglo inquiry until next year at the earliest

NO CHARGES will be brought in relation to potential wrongdoing at Anglo Irish Bank until next year at the earliest, the High …

NO CHARGES will be brought in relation to potential wrongdoing at Anglo Irish Bank until next year at the earliest, the High Court heard yesterday, as it agreed to extend the deadline on the investigation into the scandal-hit bank.

Lawyers representing the Director of Public Prosecutions told the court that it expected to receive a file on financial transactions by Anglo directors within the next 14 days.

The file relates both to a suspected failure by the bank to maintain a register of directors’ dealings and a suspected withholding of information from auditors.

The transactions concerned were more complex than expected, the court heard.

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Counsel for the DPP, Una Ní Raifeartaigh SC, told Mr Justice Peter Kelly that although the DPP had received some files relating to the investigation already, it would not make a decision on whether to bring charges against any individuals until the entire investigation was complete.

This is because there is an overlap between the different strands of the inquiry into Anglo, which is being conducted by the Office of the Director of Corporate Enforcement and the Garda Bureau of Fraud Investigation.

A file concerning a loan to a particular Anglo director, sent to the DPP in December 2010, has been assessed by the DPP and is now being considered by its lawyers, while two other files on “back-to-back” deposits between Anglo and Irish Life and Permanent have also been sent to the DPP. Mr Justice Kelly extended the investigation period granted to the Director of Corporate Enforcement Paul Appleby, after Mr Appleby’s office updated the court on its progress.

The ODCE told the court it expected the bulk of the investigation would be completed by the end of the year, with a spokesman later adding that this was “subject to unforeseen events”.

The ODCE expects that its progress will be assisted by the enactment of new laws compelling reluctant witnesses to give evidence.

The Criminal Justice Bill, 2011, which has now passed the Seanad, aims to tackle white-collar crime by making it an offence for someone not to pass on information relevant to investigations into financial institutions.

Mr Appleby said in June that more than 10 witnesses were refusing to co-operate with his office’s investigation. The number of reluctant witnesses, some of whom he described as important to the investigation, was one of the reasons why it was impossible for his office to meet a court deadline to complete the investigation by today.

The ODCE spokesman said there had been no further co-operation from the reluctant witnesses in recent weeks.

The potential witnesses, who are not current employees of Anglo, include bank executives and individuals based outside Ireland.

In May, Mr Justice Kelly refused to give the ODCE a six-month extension on its investigation period, setting a deadline of July 28th instead and describing progress by Mr Appleby’s office and the Garda as “not at all satisfactory”.

However, Mr Justice Kelly yesterday appeared to accept an argument by lawyers for the ODCE that more time was needed. He said the collapse of Anglo has had devastating consequences for individuals, the State and Ireland’s business reputation, and this meant a comprehensive investigationwas required.