RTÉ News has discovered that for a number of years Allied Irish Bank has been overcharging foreign exchange customers.
In a statement released by AIB this evening, the bank confirmed that it had overcharged some customers to the tune of €14m.
The bank apologised for the fact that the issue went unaddressed for such a long period.
The Financial Services Regulatory Authority has ordered an investigation into the matter.
It is demanding that AIB report on the extent of the problem and on what steps are being taken to pay compensation.
The Tánaiste, Mary Harney, said the affair underlined the critical role of the IFSRA in providing a strong, integrated consumer protection focus in the financial sector.
She said she expected the matter would now be pursued aggressively on behalf of consumers by its the consumer director.
