Former Anglo Irish Bank chairman and CEO Sean FitzPatrick has been arrested and charged with failing to disclose at least $183 million worth of loans to the bank's auditors, an Irish court was told yesterday.
According to the Irish Independent, FitzPatrick, 64, was arrested and brought before Dublin District Court on 12 new charges in connection with financial irregularities at the bank over a six-year period.
FitzPatrick, with an address in Greystones, County Wicklow, stepped down from his leadership position in December 2008. Thereafter Anglo Irish Bank was nationalized and re-named the Irish Bank Resolution Corporation (IBRC). It's collapse cost Irish taxpayers about $39 billion.
The new charges against FitzPatrick have been brought under Section 197 of the Companies Act 1990. They allege that he failed to disclose to the auditors Ernst & Young the true value of the loans given to him or people connected to him, by Irish Nationwide Building Society.
FitzPatrick was reportedly remanded on bail after the court heard he had replied 'no comment' when each charge was put to him. FitzPatrick is charged that as an officer of the bank, he knowingly or recklessly made false, misleading or deceptive statements to Anglo's auditors from 2002 to 2007.
Fraud squad Detective Inspector Raymond Kavanagh reportedly told the court he arrested FitzPatrick at the Bridewell Garda Station and charged him on twelve counts.
State solicitor Jane Farrell said all the charges would go forward on indictment, meaning they will be sent for trial by judge and jury to Dublin Circuit Criminal Court. A 10-week adjournment was needed for the preparation of the book of evidence.
Defense Solicitor Michael Staines said his client was consenting to this adjournment.
Judge Michael Walsh granted bail in FitzPatrick's own bond of $1,300 and imposed bail terms stating he must continue to reside at his current address. The judge also ordered him to sign once a week at Irishtown Garda Station.
FitzPatrick, who was wearing a navy blue suit with a light blue shirt and red tie, reportedly sat with his hands folded looking straight ahead throughout the brief hearing.
The case was then adjourned to March 1 pending the preparation of a book evidence.