Some BoI ATMs will run out of cashFriday 26 January 2007 20.54
Bank of Ireland has confirmed that a number of its ATMs serviced by Brinks Allied will run out of cash tonight ahead of the bank holiday weekend because of the dispute between the security firm and the bank over liability for losses in robberies.
Brinks Allied this week withdrew from cash in transit services for the bank until it agreed to carry a significant part of the risk in the wake of a recent spate of armed robberies.
A bank spokesperson said that some of the 89 ATMs in Dublin, Cork and Waterford situated away from branches and which are serviced by Brinks Allied were still functioning, but many would run out of cash later this evening.
She said that no other security firm would have the capacity to take over the Brinks Allied contract at short notice, and that as a result, the ATMs would remain empty over the bank holiday weekend unless the dispute was resolved. The spokesperson said its branches were coping well, and that contingency arrangements had been implemented.
Meanwhile, the row between Bank of Ireland and Brinks Allied over the movement of cash will come before the High Court tomorrow when the bank will seek an order stopping Brinks reneging on what the bank claims are contractual obligations.
When the case was raised today, counsel for the bank claimed that Brinks in Ireland has received a direction from its US parent company to break contracts with the Bank of Ireland unless the bank was prepared to carry up to 88% of the loss in the event of money going missing. He claimed the issue was not a security concern but rather this head office direction.
Alex Owens said that Brinks transports money between the central depository and Bank of Ireland branches and the bank supplies cash to Permanent TSB. He claimed that for the last few days, because of this dispute, some city branches had too much cash in house, posing a security risk.
Brinks had also welched on the ATM contract and cash machines were running out of money and would run out over the weekend, the court was told. Mr Owens claimed that what Brinks had done was broken its contract and sought to make its problem the problem of the bank. The case will receive a full hearing tomorrow morning.