Fianna Fáil Finance Spokesperson Michael McGrath has welcomed the commitment by the NTMA today to review the practice of NTMA executives taking up senior executive positions within the banks without a sufficient cooling off period.
Deputy McGrath stated, “At today’s meeting of the Joint Oireachtas Finance committee, I raised with NTMA Chief Executive Mr. John Corrigan the recent trend of NTMA executives leaving the organisation and immediately taking up senior positions in banks.
“I drew attention to the recent example of Mr. Michael Torpey who was employed by the NTMA but seconded to the Department of Finance. While seconded to the Department, Mr. Torpey held the position of Head of the Shareholder Management Unit. In other words, he was in charge of the unit that managed the State’s shareholding in the banks. He is now leaving this post and will join the executive management committee of Bank of Ireland at the end of March as Chief Executive of its Corporate and Treasury division. The State recently divested itself of €1 billion of Bank of Ireland bonds in a major commercial transaction.
“At today’s meeting, Mr. Corrigan accepted that the practice of the agency’s executives leaving to immediately take up senior posts in the banks is a matter of concern and he agreed to undertake a review of this with his senior management team. In my view, the Minister for Finance should have this matter independently reviewed.
“It is common practice that persons leaving senior posts in the public sector would be prohibited from joining private organisations with whom they would have had a close involvement in the course of their public duties until a reasonable cooling off period has elapsed. I welcome Mr. Corrigan’s openness to examining this issue and I am calling on the Minister to ensure that an independent review is carried out immediately.”