As new figures reveal the true scale of the tracker mortgage scandal, the need for real accountability at both the institution and individual senior executive level is imperative, according to Fianna Fáil Spokesperson on Finance Michael McGrath.
Deputy McGrath was commenting as the Central Bank increased the estimate of affected customers by 13,600, bringing the overall total to date to 33,700.
Deputy McGrath added, “The real story behind today’s update is that the lenders did not voluntarily reveal the full extent of the tracker mortgage scandal. It is evident that the Central Bank had to seriously flex its muscles to force the lenders to face up to the scale of this scandal. The Central Bank should be commended for doing its job and the lenders should be slammed for having to be dragged kicking and screaming to the truth.
“We all have to bear in mind the human stories that lie behind each of the affected mortgage accounts. For some, the impact may have been modest enough and manageable. For others, the impact was devastating and included the loss of their home.
“The absolute priority now is to ensure that all 26,600 customers in this current Examination get the justice they deserve. This has to include fair and reasonable compensation which takes account of their individual circumstances.
“Beyond looking after those affected, this scandal really has to be watershed in Irish banking. The Central Bank expects that all the main lenders will face enforcement investigations. People will be sceptical about the effects of this. At the end of this process, there simply has to be real accountability – for both the institutions but also for anyone identified within them as being responsible for this in the first place. It was hardly an accident that all the banks made the same mistake – in their own favour.
“The Oireachtas Finance Committee, of which I am a member, will resume questioning the Minister for Finance, the Central Bank and all the main banks on this issue in January during a new round of hearings on this issue,” concluded McGrath.