Menu
18/02/2002
AIB may seek help from other banks following fraud case
A report in a national UK Sunday newspaper has claimed the Allied Irish Bank (AIB) has approached other banks to ask for help on how to improve its financial controls.
According to the Sunday Telegraph newspaper, the AIB are seeking help following the recent discovery of an alleged £517 million fraud at US subsidiary Allfirst in which the bank blamed the actions of currency trader John Rusnak.
The move is viewed as highly unusual and is likely to raise yet more questions about AIB's internal controls and risk management processes.
The FBI and AIB are both currently investigating the circumstances behind the $750m loss. However, Mr Rusnak's lawyers have insisted that their client did not steal money from the bank.
While it is normal for an external expert to be appointed to check internal systems following a breach of security such as this recent fraud case, many industry observers consider AIB's approach to rival banks as an indication that it has little confidence in its ability to impose tighter controls and better risk management systems.
(MB)
According to the Sunday Telegraph newspaper, the AIB are seeking help following the recent discovery of an alleged £517 million fraud at US subsidiary Allfirst in which the bank blamed the actions of currency trader John Rusnak.
The move is viewed as highly unusual and is likely to raise yet more questions about AIB's internal controls and risk management processes.
The FBI and AIB are both currently investigating the circumstances behind the $750m loss. However, Mr Rusnak's lawyers have insisted that their client did not steal money from the bank.
While it is normal for an external expert to be appointed to check internal systems following a breach of security such as this recent fraud case, many industry observers consider AIB's approach to rival banks as an indication that it has little confidence in its ability to impose tighter controls and better risk management systems.
(MB)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
20 February 2002
Alleged AIB fraud started as far back as 1997
Allied Irish Banks (AIB) has revealed that the alleged fraud discovered earlier this month at its US subsidiary had been going on as far back as 1997. The news came as the bank reported its results for 2001 and finalised the losses it incurred as a result of the fraud at $691m.
Alleged AIB fraud started as far back as 1997
Allied Irish Banks (AIB) has revealed that the alleged fraud discovered earlier this month at its US subsidiary had been going on as far back as 1997. The news came as the bank reported its results for 2001 and finalised the losses it incurred as a result of the fraud at $691m.
31 July 2009
Developer Loses Court Bid To Appoint Examiner
Six companies controlled by the well known property developer Liam Carroll, will not be appointed an examiner, a court has decided.
Developer Loses Court Bid To Appoint Examiner
Six companies controlled by the well known property developer Liam Carroll, will not be appointed an examiner, a court has decided.
24 November 2010
Irish Credit Rating Downgraded By Agency
Ireland's difficulties seem to worsen by the hour as Standard & Poor's announce they are downgrading the State's international credit rating and placing its banks on "CreditWatch". The news comes just after another international ratings agency, Moody's, announced it would be slashing Ireland's credit rating, following the news of the Irish bailout.
Irish Credit Rating Downgraded By Agency
Ireland's difficulties seem to worsen by the hour as Standard & Poor's announce they are downgrading the State's international credit rating and placing its banks on "CreditWatch". The news comes just after another international ratings agency, Moody's, announced it would be slashing Ireland's credit rating, following the news of the Irish bailout.
07 July 2010
Lenihan Tough On NAMA Bankers' Errors
Banks have been less than clear on certain aspects of the running of the National Asset Management Agency (NAMA). Daíl Minister for Finance Brian Lenihan has now promised action against banks that provide "misleading information" but insisted that NAMA had done its job, and actually paid the banks less than had been envisaged.
Lenihan Tough On NAMA Bankers' Errors
Banks have been less than clear on certain aspects of the running of the National Asset Management Agency (NAMA). Daíl Minister for Finance Brian Lenihan has now promised action against banks that provide "misleading information" but insisted that NAMA had done its job, and actually paid the banks less than had been envisaged.
14 June 2002
Small firms accuse big banks of 'dragging their feet'
The Federation of Small Businesses have expressed disappointment at the Office of Fair Trading's decision to back a call from the banks for a six-month delay in the requirement on the banks to pay interest on business current accounts. The Competition Commission published its report into small business banking as far back as March 14, 2002.
Small firms accuse big banks of 'dragging their feet'
The Federation of Small Businesses have expressed disappointment at the Office of Fair Trading's decision to back a call from the banks for a six-month delay in the requirement on the banks to pay interest on business current accounts. The Competition Commission published its report into small business banking as far back as March 14, 2002.
-
Northern Ireland WeatherThis Evening and Tonight:It will be cloudy with a spell of heavy rain pushing south through late evening and the early hours, soon followed by some clear spells. Minimum temperature 6 °C.
