Fianna Fáil Spokesperson on Finance Michael McGrath has called on the government to move swiftly to implement the proposals made by the Central Bank to improve accountability in the financial sector and the way in which white collar crime is investigated.
Deputy McGrath commented, “Fianna Fáil welcomes the Central Bank’s submission to the Law Reform Commission’s Issues Paper ‘Regulatory Enforcement and Corporate Offences’. We believe the government needs to embrace the Central Bank’s proposals as an important step towards greater accountability in the financial sector. We also support their call for more effective investigation and prosecution of white collar offences.
“One of the key reforms proposed by the Central Bank is that individual senior personnel in financial institutions be assigned specific responsibilities. Given the experience of how financial institutions conducted themselves in the lead up to the financial crisis and in their more recent handling of the tracker mortgage scandal, individual accountability undoubtedly needs to be greatly improved at the level of senior decision makers.
“The proposal that a new offence of ‘egregious recklessness’ be introduced for those who were in charge of failed financial firms should be implemented quickly by government as part of a suite of reforms to modernise the regulatory and criminal law environment within which firms operate.
“The observations made by the Central Bank in their submission have been shaped by their experience of recent years. It is imperative now that the government moves without delay to provide the Central Bank with the additional powers it has sought and to reform how white collar crime is investigated and prosecuted in this country.”