‘I Will Not Direct Nama To Halt Or Change Its Sale Strategies’

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Minister for Finance Michael Noonan in the Dáil this morning

This morning.

In the Dáil.

Two hours of statements are being made on the establishment of a Commission of Investigation into NAMA.

They can be watched live here.

Opening the statements this morning, Fine Gael TD and Minister for Finance Michael Noonan said the following:

NAMA has answered every question put to it by the Comptroller and Auditor General and the Committee of Public Accounts. I acknowledge that there are differences of opinion but there are also findings on which we all agree. The Committee of Public Accounts will soon publish its findings and I look forward to reading that report. While I will await the committee’s report, based on the evidence I also accept that the parties involved are entitled to hold differing opinions on matters of commercial judgment and that this does not imply wrongdoing by any party.

“Today, I do not believe that sufficient grounds have been established on which to progress a commission of investigation without first taking the views of the Committee of Public Accounts into account.

“I would like to comment on ongoing criminal investigations. It has been suggested by some that arrests associated with the UK NCA investigation imply wrongdoing on the part of NAMA. On the contrary, NAMA advise that the UK NCA has confirmed that no aspect of the agency’s activities are under investigation. Deputy Wallace has stated previously that he has brought important information to the attention of the Garda Síochána. We should commend him for doing so if he believes such action is warranted.

“Anyone who believes they have such information, should bring that information to the gardai and allow them to assess and, if necessary, investigate it. After all, it is the role of the gardai to determine if there are grounds for a criminal investigation in this state, into any matter.

“As far as I know, no such investigation is being pursued by the gardai. I’m also aware that the US Securities and Exchange Commission and the FBI has examined elements of the [Project Eagle] transaction. Should these agencies wish to engage with Nama, Nama has made it clear that it is more than willing to do so.

“Through all of this, I want to be clear that the allegations of wrongdoing that have been made, against particular individuals, and that that are being criminally investigated, are a matter of serious concern. These concerns will remain until investigations are concluded and their findings are made known.

“Here, today, these investigations have not concluded and we do not know their findings. This Government, and I hope this House, supports each of these investigations and stands ready to assist in any way that is helpful.

“Throughout the Opposition’s statements today, there may well be bounds for other Nama transactions to be reviewed. Either through a Commission of Investigation or otherwise. As we know, the Comptroller and Auditor General reviews the accounts in operation in Nama. As deputies should already be aware, the C&AG is already reviewing and assessing a broad sample of approximately 50 Nama transactions from a value-for-money perspective, under the section 226 of the Nama Act.

“I’m sure members will agree: we’re looking forward to receiving the C&AG ‘s section 226 report. And I expect, as is always the work of this C&AG to be very thorough.

I have little doubt that the calls to change Nama’s mandate, or even halt Nama’s activities, will continue. A change of mandate is outside the scope of a Commission of Investigation but it will attempt to summarise the position as, unfortunately, public discourse rarely captures what the agency can and cannot do.”

“I want to be very clear about this: Nama’s original mandate remains in place and will remain in place until it is fully wound down. Nama has the independence to decide the most appropriate strategy, or best strategies, for achieving that mandate.

In any market, but particularly in an open, transparent market, such as Ireland, a move to constrain Nama’s activities would be commercially discriminatory and would irreparably damage our international reputation as a secure and transparent place to do business.

Think of the unfinished housing estates that have been brought to completion. The dilapidated hotels that have been renovated and brought back into the market. And the ugly skeletons of abandoned offices and apartment projects that have been completed.

“This has only been accomplished through the significant investment that these assets, and in our economy, by the purchases of Nama, IBRC and bank loans and assets.

“It is as important today as it is, it is as important today as it ever was that Ireland remains open to investment capital, for the development of our economy. The [inaudible] spectrum of investment opportunities.

I will not direct Nama to halt or change its sale strategies and, indeed, I will not direct Nama to do anything that is contrary to their commercial mandate which they’re entitled to do, under the Nama Acts.”

There you go now.

Meanwhile…

Watch live here

Previously: Screech

That Nama Vote In Full

‘Nobody Has Presented Me With Evidence Of Wrongdoing By Nama’

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19 thoughts on “‘I Will Not Direct Nama To Halt Or Change Its Sale Strategies’

  1. Saturday Night Newsround

    I dealt with NAMA on a number of transactions. I found them incredibly, incomprehensibly inefficient. It was impossible to get them to execute sale contracts (even well above the guide price, in a declining market). When contracts were executed, there were incomprehensibly long delays before closing. On one occasion, I was contacted by an expat colleague working for an investment bank in California. His employer was interested in buying a portfolio Irish properties from NAMA, and had asked him to make enquiries when he was in Ireland. He found it impossible to get hold of anyone interested in talking to him about this. Presumably there is a record somewhere of all the properties sold by NAMA during its period of operation, to determine the identity of the persons to whom they were sold and the price they were sold at. Have any of these properties been purchased ‘on trust’ and if so what steps, if any, have been taken to ascertain whether these are offshore trusts for the original owners? What factors motivated NAMA to move or delay the sale of partiicular properties? And what was the role of the Reits in NAMA purchases, and their relationship with NAMA generally? All of these questions require answers, hopefully someone will find them.

  2. Sheik Yahbouti

    So no change there from Mr Noonan. No matter. The crimes have already been committed ; the valuable property has long since been disposed of; the ‘developers’ are back on their feet having been sustained by their ample NAMA salaries and we are now down to the residue in “the Great Irish Sell off”. What’s to be done? I don’t know. I know what I’d like to do, but it might prove unpopular. I could ‘go gently into this good night’ if I thought there might be some measure of just retribution. There will be no such thing. Your Sheik is discouraged.

    1. Turgenev

      This kind of thing is what got Trump elected in America; people thought an outsider would be outside the ‘elite swamp of corruption’. Alas for them. Be careful what you wish for.

  3. 15p

    Noonan, as a Finance Minister, bizzarely doesn’t care about money. about wasting it. giving it away. not taking money owed. it can only be because he personally is financially well, so he doesn’t want to cause any fuss… the useless, uncaring, uncharismatic, chap..

    1. Sheik Yahbouti

      One has to ask oneself, in what other country could a humble Schoolmaster wind up as a billionaire from a career in politics?

        1. Sheik Yahbouti

          No room for hyperbole then? Never mind, time and events may prove me not too far wrong Ogra FG.

          1. Rob_G

            Michael Noonan is no longer a a spring chicken; I appreciate that you have such faith in his financial acumen, but I would be very surprised if he manages to make it to a billion during his tenure on this mortal coil.

    2. Increasing Displacement

      I’d say we’ll be better off when he passes on but you know some other chap will take his place.

  4. Cian

    When NAMA was established all the doom-sayers said that it would lose billion and was a complete waste of time and money.
    Now, it looks like NAMA will make €2-3 billion profit! And yet people are saying that it was (a) a rip-off and (b) constantly under-pricing properties and (c) conducting illegal transactions. But if that were true surely NAMA would be making a huge loss to the taxpayer? Is the fact of the profits not evidence that they are doing something right?

    1. Deluded

      It’s the €40 billion write-off that’s bothering people. It’s easy make a profit if the sites are undervalued.
      Of course they’re undervalued now because the economy has recovered.
      “Disaster Capitalism” I think it’s called.

    2. scottser

      yeah, but they didn’t just sell assets, they sold debt. and no doubt the terms of sale include the authority for vultures to chase down those debts as aggressively as possible and with the full backing of the state to back up them up through the courts. was the same latitude shown to owners of private and mortgage debt? nope, and the shills on here and elsewhere would rather see folk lose their homes and see property developers blameless than the thought of an average joe getting a debt write-down.
      it’s disgusting. and noonan in a proper functioning democracy would be on trial by now.

  5. Increasing Displacement

    I don’t think that’s correct you who used to be named something else.
    The comments are opinions and not being sent to the individual at all.
    I’d doubt he’d bother reading this site.

  6. Evenprime

    Look, we all just have to understand that noonan doesn’t give a poo about Ireland or the people of Ireland.

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