HOME | |

NTMA accuses State Street of €3.2 million alleged fraud

Agency says compensation may be sought

NTMA accuses State Street of €3.2 million alleged fraud
Author image
Jack Quann
13:00 Thursday 22 November 2012

The head of the National Treasury Management Agency (NTMA) is accusing State Street Bank of fraud.

John Corrigan made the claim during an appearance at the Oireachtas Public Accounts Committee (PAC) today.

He says the €3.2 million was improperly taken but has since been recouped.

It related to commission on the sale of €4.7 billion of assets from the National Pension Reserve Fund.

The sale was a requirement under the bailout programme to help in the recapitalistion of the Irish banks.

The NTMA Chief Executive says Gardai and the British Financial Services Authority are investigating.

"Fraudulently - in our view - within State Street there was 0.7% approximately clipped off the sale prices that they got when they went out on to the open market to transition these shares" he said.

Possible compensation

Mr. Corrigan also says the bank is denying it amounts to fraud and that the matter is not over.

"We have accepted the payments which State Street have given us - we have accepted those without prejudice".

"And we have indicated - quite forcibly to State Street when I met them - that the overall relationship, including whatever compensation we might seek, remains unfinished business" he added.

The bank employees over 2,000 people in Ireland having entered the market in 1996. 

It has offices in Dublin, Drogheda, Kilkenny, and Naas and services more than US$600 billion in assets for clients.

The group has US$4.6 trillion in assets under custody and administration and has representation in 11 European countries.

comments powered by Disqus
  • newstalk.ie image

    Comedian Joan Rivers in critical condition at New York hospital

    newstalk.ie image

    Woman dies after being hit by garda car in west Dublin

    newstalk.ie image

    Consultant says Tallaght Hospital emergency department is...

    newstalk.ie image

    NATO to Russia: Stop your illegal military actions in Ukraine

    newstalk.ie image

    'Shay Given is still the best goalkeeper we have' - John...

    newstalk.ie image

    Appeal for witnesses after man found shot in Bray park

    newstalk.ie image

    30 passengers rescued from boat off Kinsale Harbour

    newstalk.ie image

    All Irish troops accounted for, after UN soldiers captured in Syria

    newstalk.ie image

    Can you help reunite this woman with her Electric Picnic rucksack?

    newstalk.ie image

    23% increase in number of young doctors leaving Ireland

  • newstalk.ie image

    20,000 American visitors in Dublin for Croke Park Classic

    newstalk.ie image

    OPINION: Removing 'Lord' from 'Lord Mayor' is a...

    newstalk.ie image

    NATO to Russia: Stop your illegal military actions in Ukraine

    newstalk.ie image

    Aviation alert level lowered following small eruption at Icelandic...

    newstalk.ie image

    Defence Minister says UN mission near Syria needs to be reassessed

    newstalk.ie image

    Major investigation launched after boy with brain tumour taken from...

    newstalk.ie image

    Can you help reunite this woman with her Electric Picnic rucksack?

    newstalk.ie image

    Traffic management plan in place as Electric Picnic gets underway...

    newstalk.ie image

    Appeal for witnesses after man found shot in Bray park

    newstalk.ie image

    800 NAMA apartments sold in €211m deal