Court halts suspension of INBS manager

A senior manager with Irish Nationwide Building Society (INBS) has secured a High Court injunction restraining his suspension…

A senior manager with Irish Nationwide Building Society (INBS) has secured a High Court injunction restraining his suspension after claiming yesterday that the society was seeking to "scapegoat" him over the granting of loans to solicitors Michael Lynn and Thomas Byrne.

In an affidavit, Brian Fitzgibbon said INBS chief Michael Fingleton was personally responsible for bypassing the society's own procedures for granting loans and had given direct approval for at least one substantial loan to Mr Lynn.

He said Mr Fingleton gave direct approval for the loan for the purchase of Glenlion House in Howth, Co Dublin, where Mr Lynn and his wife hoped to live.

Mr Fitzgibbon said a credit committee set up by the INBS to approve home loans over €1 million was merely "a device" to satisfy the Irish Financial Services Regulatory Authority and, in practice, there was "limited compliance" with the rules of the society.

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Loans were "entirely informal and controlled by Michael Fingleton", he said.

Ms Justice Mary Laffoy yesterday granted Marguerite Bolger, for Mr Fitzgibbon, a temporary injunction restraining her client's suspension.

In his affidavit, Mr Fitzgibbon (41), from Liscahill, Thurles, Co Tipperary, said he had been summoned to a meeting on Monday next and believed he was being victimised over the approval by the INBS of loans to solicitors Michael Lynn and Thomas Byrne, who are now under Garda investigation and whose practices have been closed by the Law Society.

Mr Fitzgibbon said he started work with INBS in 2000 and was appointed home loans manager in 2006. He said the society had leaked his suspension to the media, suggesting it had to do with Mr Byrne and Mr Lynn. He was concerned this had caused irreparable damage to his reputation and could result in "catastrophic consequences" for his career and livelihood.

In correspondence to Mr Fitzgibbon from the INBS read to the court, the society said the purpose of next Monday's meeting was to have "a full and frank discussion of all relevant issues". It also said that Mr Fitzgibbon was required to attend because he was on full pay, and denied leaks to the media.

In his affidavit, Mr Fitzgibbon said he had a good relationship initially with Mr Fingleton, but this had deteriorated after Mr Fingleton decided that he was responsible for arranging a meeting involving a man who had previously initiated a vote of no confidence in Mr Fingleton.

In June 2006, Mr Fingleton had summoned him to head office, where he was advised to consider his position,

Mr Fitzgibbon said he was summoned last August to another meeting at which his own mortgage with the society was raised. This caused him extreme offence, he said.

Last month, he attended a meeting held under the society's disciplinary procedure to discuss matters relating to his "conduct and performance", he added.

He said he felt he was being victimised, particularly in relation to his own mortgage.

Earlier this month, he received another demand to attend a meeting, which this time stated it was to discuss issues about his conduct in relation to the approval of number of loans, including those relating to accounts of Messrs Lynn, Byrne and a third man.

It had then become clear to him that the society was "attempting to scapegoat" him for the difficulties it had in relation to the two solicitors, he said.

Mr Fitzgibbon said he had not had any direct or personal dealings with those solicitors. At least one of the substantial loans to Mr Lynn had been made with Mr Fingleton's approval, he said.

In relation to Mr Byrne, Mr Fitzgibbon said he had refused two loan applications for him and had only given a 70 per cent loan on another property. One of his refusals was appealed to Mr Fingleton, who had agreed to proceed with the loan, he said.

Mr Fitzgibbon said he was extremely concerned that his employment would be terminated and that his reputation might be irreparably damaged unless INBS was required to confirm his position and his good standing. He said letters provided by the society in response to his solicitors had provided him with "no comfort at all" and only confirmed his worst suspicions.