The application by a Cayman Islands bank aimed at blocking an inquiry by an authorised officer investigating the Ansbacher deposits was adjourned last night. A decision is expected in the next few days.

Ansbacher (Cayman) to the Grand Court of the Cayman Islands began on Monday. The authorised officer, Mr Gerard Ryan, has sought documents from the legal representatives in Dublin of Ansbacher (Cayman). It is understood the documents were brought back to the Cayman Islands from Dublin following the death of Mr Des Traynor in 1994.

Mr Ryan was appointed an authorised officer by the Tanaiste and Minister for Enterprise, Trade and Employment, Ms Harney, to investigate the Ansbacher deposits for possible breaches of company law. He was appointed to four companies: Guinness & Mahon bank and Irish Intercontinental Bank, both in Ireland, and Ansbacher (Cayman) and Hamilton Ross, both in the Cayman Islands. All four were involved in the operation of the Ansbacher deposits.

Mr Ryan has interviewed and been served with documents by Mr Padraig Collery, a former Guinness & Mahon banker, who acted for the two Cayman banks in Ireland. Mr Collery kept memorandum accounts which were coded records of depositors' holdings in the Ansbacher deposits.

However, the bulk of the memorandum accounts were destroyed or taken back to the Cayman Islands following the death of Mr Des Traynor. It is understood the documents which Mr Collery has handed over to Mr Ryan relate to Hamilton Ross only, and only go back as far as 1992. They include details of two accounts which held money belonging to the former Taoiseach, Mr Haughey. These accounts were coded S8 and S9. Mr Haughey left office in 1992.

Mr Ryan has also been served with extensive documentation by Guinness & Mahon and Irish Intercontinental Bank. This documentation details lodgements and withdrawals from the deposits but may not contain full information on the names of the owners of the deposits. According to the McCracken report, the owners were Irish residents.

The Tanaiste and Mr Ryan are being represented in the Cayman court by Mr John Lawless and Mr Anthony Bueno QC. Mr Lawless was solicitor to the McCracken tribunal and moved to the Cayman Islands last year, where he now works for the firm Quin and Hampson. Quin and Hampson, and Mr Lawless, were involved in the unsuccessful case the McCracken tribunal took in the Cayman Islands last year.

The application is being heard in camera by the Chief Justice designate ofthe Grand Court, Mr Anthony Smellie QC. The finding will be published.

Mr Ryan was appointed an authorised officer to the four banks after he had completed an interim report on his investigation into Celtic Helicopters Ltd. He told the Tanaiste, Ms Harney, that he needed to get information about the deposits in order to complete his report. Ms Harney then appointed him to the four banks.

The McCracken tribunal heard how loans to Celtic Helicopters were backed by money in the S8 and S9 accounts. Mr Haughey's son, Mr Ciaran Haughey, is a major shareholder in Celtic Helicopters.