Banking group given multimillion-euro fine over tracker mortgage scandal

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One of Ireland’s biggest banks has been fined astir 100 cardinal euro for its relation successful the country’s tracker owe scandal.

IB Group apologised for the distress and fiscal losses suffered by customers and described the substance arsenic a “very ample stain connected the estimation of the bank”.

The Central Bank of Ireland announced that AIB – Allied Irish Banks – has been fined 83.3 cardinal euro.

EBS, which AIB acquired successful 2011, has been fined 13.4 cardinal euro.

I person said successful the past, and I reiterate today, this substance represents a precise ample stain connected the estimation of the bankAIB Group main enforcement Colin Hunt

AIB is the 2nd largest slope successful Ireland with much than 170 branches and astir 2.8 cardinal customers.

The Central Bank said AIB withdrew its tracker owe offering without immoderate “proper respect oregon interest for the interaction connected its customers”.

The regulator said a “litany of failings” followed, which saw customers wrongly denied their tracker entitlements portion others “lost their tracker rates owed to AIB’s deficiencies successful its proviso of day-to-day owe services”.

The Central Bank said the latest fines, announced connected Thursday, instrumentality the full sanctions imposed connected lenders for tracker owe failings to 174 cardinal euro.

This is connected apical of 737 cardinal euro paid to customers successful redress and compensation nether the Central Bank-initiated Tracker Mortgage Examination.

Underpinning AIB’s failings implicit a prolonged play of clip was a civilization of failing to decently see and recognise the rights of its customers and its obligations to themSeána Cunningham, Central Bank

AIB Group main enforcement Colin Hunt said: “We are profoundly atrocious for the distress and the fiscal losses caused by the tracker owe issue.

“I person said successful the past, and I reiterate today, this substance represents a precise ample stain connected the estimation of the bank.

“It damaged not lone the affected customers, but besides undermined the bank’s efforts to rebuild nationalist spot and confidence.”

The Central Bank’s manager of enforcement and anti-money laundering, Seana Cunningham, said the fines had been imposed “in respect of superior and long-running failings successful gathering its obligations to its tracker owe customers”.

She added: “Underpinning AIB’s failings implicit a prolonged play of clip was a civilization of failing to decently see and recognise the rights of its customers and its obligations to them.”

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