Ulster Bank GRG investigation
Deputy Doherty alleged serious misconduct in Ulster Bank’s global restructuring group and urged a full investigation in the State, citing a leaked FCA memo and asking whether the Central Bank had the report. The Tánaiste said he would raise the matter with the Minister for Finance and asked that officials contact the Deputy.
The programme for Government commits the Government to protect mortgage holders, tenants and small and medium-sized enterprises, SMEs, that had taken out loans that may have transferred to vulture funds. The Minister may be aware of this matter. At least he should be because I told the Taoiseach this is the next scandal that will hit the Government. It has already hit but the Government needs to get to grips with it. I refer to the global restructuring group of Ulster Bank. A total of 2,141 Irish companies employing tens of thousands of people went into the global restructuring group, GRG, and fewer than 100 emerged alive. The select Treasury Committee in Britain heard evidence recently of the actions and modus operandi of the GRG, which operated under RBS in Britain. I will read to the Tánaiste a memo written at the height of the financial crisis.
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This is the question. The memo to staff on the operational manual stated, "Rope: sometimes you just have to let customers hang themselves ... If they sign, they can't complain." It goes on to state, "Avoid round number fees - £5,300 sounds as if you have thought about it, £5k sounds like you haven't."
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The GRG existed in this State as it did in Britain. West Register existed in this State as it did in Britain. The modus operandi was the exact same. The Financial Conduct Authority, FCA, in Britain has done a report into it.
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It has been leaked. We need to see similar action taken here. I have asked the Minister whether the Central Bank has a copy of that report. It will not say "yes" or "no".
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Will the Tánaiste, as a Government Minister, ensure a full investigation into the operation in this State of GRG, which put more than 2,000 Irish companies and their employees to the wall?
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It sounds as if the Deputy has asked the Minister for Finance this question recently. I will raise it with him again but I would be surprised if he was not informed of the detail the Deputy has been raising. It is the first time I have heard of the matter on the floor but I will raise it with the Minister, Deputy Donohoe, and ask him to get back to the Deputy.