An attempt by the Cayman Islands bank which controlled the Ansbacher deposits to evade having to disclose information to an investigation launched by the Tanaiste, Ms Harney, was continuing in a Cayman court late last night.
Ansbacher (Cayman) is seeking a direction from the Grand Court of the Cayman Islands as to whether a request for information from an authorised officer, Mr Gerard Ryan, constitutes a requirement under Cayman law. The bank's case is being contested by lawyers for Mr Ryan and the Tanaiste and the case is likely to continue into today. If the court rules in favour of the bank it will constitute a serious blow to Mr Ryan's ability to inquire into the Ansbacher deposits.
Mr Ryan is investigating the Ansbacher deposits for breaches of company law and has been appointed as an authorised officer to four banks linked to the deposits. These are Guinness & Mahon and Irish Intercontinental Bank, both in Dublin, and Ansbacher (Cayman) and Hamilton Ross, both in the Cayman Islands. The application to the Cayman court follows an approach by Mr Ryan to the legal representatives of Ansbacher (Cayman) in Ireland.
The application is being contested by lawyers for Mr Ryan and the Tanaiste. The proceedings are being held in the chambers of the Cayman Chief Justice, Mr Anthony Smellie QC. Mr Ryan and Mr Paul Appleby, the principal officer of the company law section of the Department of Enterprise, Trade and Employment, travelled to the Cayman Islands at the weekend in order to attend the hearing.
Ms Harney said she was determined the case would be fought successfully. "It is important that company law is enforced and that companies which do business in Ireland or with Ireland can expect the law to be enforced." She said the authorised officer was investigating four banks but only one of them was challenging the officer and resisting handing over documents.
The Tanaiste said she has taken legal advice and is confident the authorised officer can win the case. It is understood that if the Cayman court rules against Mr Ryan, the decision will be appealed.
Ansbacher (Cayman) is a subsidiary of the Henry Ansbacher group, which has its headquarters in Guernsey. There was no-one available for comment from the Cayman bank or the group's head office yesterday. The bank has no branch in Ireland.
The Cayman Islands has strict confidentiality laws governing the disclosure of information. An approach to the Grand Court by the McCracken Tribunal last year was unsuccessful. An appeal against that decision was not pursued.
Funds owned by a number of Irish residents are known to have been held in the Ansbacher deposits. Part of the living expenses of the former Taoiseach, Mr Haughey, came from two accounts which formed part of the deposits.
Following the publication of the McCracken Report, Ms Harney appointed Mr Ryan as an authorised officer to Celtic Helicopters Ltd. The company had benefited financially from the deposits. Mr Haughey's son, Mr Ciaran Haughey, was a major shareholder of the company.
Mr Ryan produced an interim report and advised Ms Harney that he needed access to further details of the Ansbacher deposits in order to complete his investigation. Ms Harney then appointed him to the four banks.
