Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
ECB boss directly "threatened" Irish finance minister Brian Lenihan into asking for bailout, or else
#1

Lenihan was 'threatened' into asking for bailout

ECB chief told former minister he would 'cut off' funding to Ireland

European Central Bank boss Jean-Claude Trichet directly "threatened" former finance minister Brian Lenihan with the immediate withdrawal of emergency liquidity funding unless he accepted the bailout last November, it has been confirmed.By DANIEL McCONNELL Chief Reporter EXCLUSIVE

Sunday September 11 2011

In interviews conducted for The Inside story of the demise ofFianna Fail, published today, it has emerged that Mr Lenihan, in the days before he died, confided in a small number of colleagues how exactly Mr Trichet "bounced" Ireland into the bailout.
It was on his last day ever in the Dail, when he knew he was dying, that Mr Lenihan revealed the true sequence of events to a few of his party colleagues.
Just nine days before the official request was made on November 28, Mr Trichet sent Mr Lenihan a letter outlining his deep unhappiness over the amount of money that the ECB was "pouring into Ireland".
"The letter landed in the department on the Friday afternoon/Friday evening. Mr Trichet was deeply unhappy about the level of funding from the ECB into Ireland. There was incredible pressure and he insisted Ireland would need to accept a bailout," Mr Lenihan's former advisor Dr Alan Ahearne said.
"Two weeks before he died, we sat for coffee, and he told me that on the Friday evening (three days) before Dermot Ahernmade his infamous 'fiction' remark, the ECB contacted him directly and threatened that if he did not request a bailout, they would cut off funding immediately to Ireland," former minister of state Billy Kelleher said.
It has also emerged for the first time that, two days later and the day before Dermot Ahern dismissed talk of a bailout as "fiction", senior banking officials from the Department of Finance met with ECB officials to discuss their "plans for Ireland".
"The ECB wanted to stuff the Irish banks with capital, overcapitalise them really, but it was clear that it would only happen if Ireland went into the bailout facility," Dr Ahearne added.
"Lenihan considered it a success to have kept the lights on and the ATMs functioning. He was under an enormous amount of pressure at the time," former defence minister Tony Killeensaid.
analysis pages 18 and 19
In his final interview before his death, Mr Lenihan revealed his personal hurt at what happened.
"I have a very vivid memory of going to Brussels on the final Monday and being on my own at the airport and looking at the snow gradually thawing and thinking to myself, 'This is terrible. No Irish minister has ever had to do this before'," he said.
"I had fought for two-and-a-half years to avoid this conclusion. I believed I had fought the good fight and taken every measure possible to delay such an eventuality and now hell was at the gates."
After the arrival of the IMF, an angry Dermot Ahern sought to set the record straight. Mr Ahern said "quite incredible pressure" was put on the country from the ECB.
- DANIEL McCONNELL Chief Reporter EXCLUSIVE
http://www.independent.ie/national-news/...73146.html
"The philosophers have only interpreted the world, in various ways. The point, however, is to change it." Karl Marx

"He would, wouldn't he?" Mandy Rice-Davies. When asked in court whether she knew that Lord Astor had denied having sex with her.

“I think it would be a good idea” Ghandi, when asked about Western Civilisation.
Reply


Messages In This Thread
ECB boss directly "threatened" Irish finance minister Brian Lenihan into asking for bailout, or else - by Magda Hassan - 11-09-2011, 10:19 AM

Possibly Related Threads…
Thread Author Replies Views Last Post
  Fraud Police move into Anglo Irish Bank David Guyatt 7 5,549 21-11-2013, 09:18 AM
Last Post: Magda Hassan
  "Finance Is the New Mode of Warfare" with Dr. Michael Hudson Peter Lemkin 0 2,538 21-08-2011, 05:55 PM
Last Post: Peter Lemkin
  Looking for Trouble In the Data Mine–Suspicious Spending (What Is a Threat Finance Analyst?) Ed Jewett 0 2,126 23-07-2011, 03:52 AM
Last Post: Ed Jewett
  FBI sweeps into cricket boss Sir Allen Stanford’s bank David Guyatt 10 7,739 06-08-2010, 05:53 PM
Last Post: Jan Klimkowski
  Greece asks for EU-IMF bailout Magda Hassan 0 2,126 24-04-2010, 12:15 PM
Last Post: Magda Hassan
  Correa calls for new finance system Magda Hassan 0 2,013 28-06-2009, 03:53 PM
Last Post: Magda Hassan
  “I’m pretty sure that someone out there wants the finance system to crack.” David Guyatt 10 5,666 22-03-2009, 07:19 AM
Last Post: Peter Lemkin
  Michael Moore's next movie: Bailout Magda Hassan 0 1,972 11-02-2009, 02:13 PM
Last Post: Magda Hassan
  US treasury makes changes to tax policy while all attention is on the bailout. Magda Hassan 3 3,005 11-11-2008, 09:50 AM
Last Post: Peter Lemkin
  Wall Street staff instructed to phone Congressman to pressure them to vote for bailout plan David Guyatt 1 3,375 09-10-2008, 06:11 PM
Last Post: Dawn Meredith

Forum Jump:


Users browsing this thread: 1 Guest(s)