Director of Credit Institution Supervision at the Central Bank Fiona Muldoon, above, is resigning.

It follows yesterday’s announcement that the CEO of RSA Insurance Group’s Irish unit, Philip Smith, had resigned following allegations of financial impropriety..

Earlier this month it emerged that an internal investigation was taking place into accounting practices at RSA Ireland and that  it needed a €100million capital injection.

In a statement yesterday Mr Smith said he was made a “fall-guy” as the investigation takes place.

RTÉ’s business editor David Murphy told Richard Curran on News At One:

David Murphy: “[Central Bank governor] Patrick Honohan said she had been a real agent for change and that she played a very big role in terms of changing the direction of the Central Bank over the past two and a half years. But it does come after a series of significant people within the bank, standing down from their positions. Matthew Elderfield, who was deputy governor of the bank has left to join Lloyd’s bank in the UK, Jonathan McMahon, who was Mathew Elderfield’s number two has left. Also Peter Oakes was a senior official and Lars Frisell, their senior economist, has left but Mr Honohon was very clear that the bank would have no difficulty in terms of carrying out its functions and said ‘look people come and people go, some stay longer than others and there’s been major changes at the Central Bank.”

Richard Curran: “Do you buy that David or is there a suggestion here somewhat that this is not a happy ship?”

Murphy: “Well I think that when you have so many high profile people leaving, it does raise question marks. Having said all of that, the real test I think came with the issue of RSA insurance, where the Central Bank spotted there was a problem, highlighted it to the parent company and it’s now being sorted out. So maybe institutional change is there but I think that it raises question marks when you see so many high profile people leaving all at once.”

Fiona Muldoon to quit Central Bank (RTÉ)

RSA Ireland CEO Smith resigns amid internal investigation

(RTE)