Credit Unions to lose nearly €14m in IBRC liquidation

Thursday 21 March 2013 17.47
16 Credit Unions invested in an Anglo bond in 2005
16 Credit Unions invested in an Anglo bond in 2005

Credit Unions stand to lose nearly €14 million arising from the liquidation of IBRC; formerly Anglo Irish Bank.

Minister for Finance Michael Noonan told the Dáil that the institutions had invested in a product called the Anglo Irish Credit Union Bond 2005.

After the liquidation their investment was only guaranteed up to a level of €100,000, even though a total of 16 Credit Unions had invested some €15 million.

He told Fianna Fáil's Michael McGrath that the Credit Unions could have withdrawn their investment after Anglo was bailed out but chose not to do so.

Mr McGrath said that was a reasonable point, but that Government policy had been to pursue an orderly wind-down of Anglo up until the decision to liquidate.