Europe

David Drumm: Bid to extradite former Anglo Irish Bank CEO

Anglo Irish logo Image copyright Associated Press
Image caption The Anglo Irish Bank was a shining light during the Celtic Tiger period

The Republic of Ireland is reportedly seeking the extradition of a former Anglo Irish Bank boss in order to prosecute him in a Irish court.

David Drumm moved to the US in 2009, the same year that Anglo Irish Bank collapsed and had to be bailed out by Irish taxpayers.

He filed for bankruptcy in the US.

A day after the bankruptcy bid failed, Irish state broadcaster RTÉ reported that extradition proceedings have now begun.

On Tuesday, a Boston court rejected Mr Drumm's request for protection from his creditors and ruled that he can be held liable for debts of 10.5m euros (£8.34m).

It was alleged during the case that the 48-year-old former bank boss secretly transferred money and assets to his wife, so they could not be seized during bankruptcy proceedings.

In a scathing ruling, the judge accused Mr Drumm of telling "outright lies" during the court hearings.

He said the ex-banker was "not remotely credible" and that his conduct during seven months of bankruptcy deliberations was "both knowing and fraudulent".

On Wednesday, RTÉ said the Irish Director of Public Prosecutions has directed that Mr Drumm be charged with up to 30 offences.

The broadcaster said it had learned that an extradition file, outlining the charges, has been sent to the US authorities.

The office of the Irish Director of Public Prosecutions and the Irish Department of Justice both declined to comment on the case when contacted by the BBC.

Anglo Irish Bank's collapse and rescue cost taxpayers more than 30bn euros (£23.5bn) and was a focus of widespread public anger in the Republic of Ireland.

The anger increased in 2013 as a result of the Anglo tapes controversy, during which Mr Drumm's conduct made international headlines

Transcripts of phone calls made by bank staff during the period immediately before Anglo's collapse were leaked to the press and published by the Irish Independent newspaper.

In the tapes, Mr Drumm was recorded joking about the haemorrhaging of funds from the failing bank, saying to a colleague "another day, another billion".

He could also be heard instructing Anglo Irish bank bosses to go to the Irish Central Bank with their "arms swinging" to secure cash for their sinking bank. He told them to say: "We need the moolah."

Mr Drumm later issued a statement of apology, saying he was "shocked and embarrassed" by the content of the tapes.

Last year, two other former Anglo Irish Bank bosses were convicted by an Irish court of making loans to illegally prop up the bank's share price before the bailout.

Pat Whelan, Anglo's former head of lending in Ireland and Willie McAteer, the bank's former finance director were found guilty after a high-profile trial.

They avoided jail however, and were given community services sentences after a Dublin judge said they believed they had acted lawfully.

More on this story