Thursday, July 21, 2011

Anglo Fraud Could be Uncovered by AIB?

The veil of secrecy that has protected the key players in Anglo might be beginning to part as the restructuring process yields more information about transactions at the failed bank. As the Irish Times reports, AIB has commenced an investigation into allegedly fraudulent transactions involving Anglo's deposit book:
"The bank said the investigation was triggered by a customer inquiry and concerned certain discrete funds.
"In the event that fraudulent activity has occurred, AIB confirms any such transactions will be for the account of the bank," it said. The Garda Bureau of Fraud Investigation and the Central Bank have been informed of the matter. Some €7.1 billion in deposits held in Anglo Irish Bank were transferred to AIB..."

The Independent also has a report on the investigation, stating that "a complaint from a customer who believes money was missing from an account sparked the probe."

This investigation might shed light on Anglo's banking practices with implications beyond these transactions.