'No commercial benefit' to so-called back-to-back Anglo - ILP transactions, court told
A former Anglo worker has said there was “no commercial benefit” to a number of so-called “back-to-back transactions” with Irish Life & Permanent in 2008.
He was giving evidence in the trial of four former bankers accused of conspiring to defraud investors, depositors and lenders.
Brian Lynch was responsible for updating senior executives on its deposits in the lead-up to its end-of-year report in 2008.
His former colleagues Willie McAteer and John Bowe are accused of conspiring to defraud by engaging in transactions to make the bank’s deposits look €7.2bn stronger than they actually were.
Denis Casey and Peter Fitzpatrick - former directors of Irish Life & Permanent - are facing the same charge.
The trial has already heard about a number of transactions whereby Anglo would transfer money to IL & P and it was returned as a corporate deposit from Irish Life Assurance – a subsidiary of IL & P.
When asked about it today, Mr. Lynch said Anglo gained “no commercial benefit” from it.
The prosecution believes the aim was to make depositors, investors and lenders believe the bank was in better shape than it actually was.