US court hears from former Anglo chief Drumm

David Drumm

David Drumm was asked about cars, furniture and the mortgage application for his Boston home during the first afternoon of his bankruptcy trial in the US.

The former Anglo Irish Bank boss faced questions on his finances from one of his main creditors, the Irish Bank Resolution Corporation, who are attempting to block his discharge from debt.

Drumm conceded that he lied on a January 2010 mortgage application to secure money to buy his home in the wealthy Boston suburb of Wellesley.

The 47-year-old insisted that the bank filled out the form, but agreed that he did fail to declare that he was the subject of two lawsuits in Ireland while seeking the loan.

Lawyer for the IBRC, John Hutchinson insisted the failure to disclose that information to Boston Private Bank directly shows Mr Drumm’s “intent to defraud.”

Mr Drumm was also questioned about valuing the furniture in his two US homes and a storage unit at $10,000, despite knowing he had spent $300,000 on the furniture in his Cape Cod holiday home in 2008 alone.

The court also heard that Mr Drumm failed to disclose the sale of a BMW and Range Rover in Ireland for €56,000 on bankruptcy filings with the former bank boss insisting that the car sales were shown in bank account details he furnished the trustee with, adding the car sales wouldn’t have “come on my radar.”

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