Sinn Féin spokesperson on Finance Pearse Doherty has welcomed today’s resignations of three senior executives from Davy following this week’s Central Bank fine arising from a 2014 bond transaction.
But the Donegal TD insisted that it should not have been left up to those individuals or anyone else in the financial sector for that matter to decide what counts as accountability.
He said that questions remain about the 13 other individuals involved, and he called on the Central Bank to instigate a wider investigation into Davy.
Speaking this afternoon, Teachta Doherty said:
“Resignations at Davy are necessary and are to be welcomed. But neither Davy nor anyone else in the financial sector should be able to decide what counts as accountability.
“Let’s be very clear here, these resignations have only come about after enormous public pressure after these three individuals were named publicly.
“This whole saga has been laced with arrogance and attempts by senior figures at Davy to brazen on through.
“This was not a case of some low-level staff going rogue, but the top brass of one of the most powerful players in the financial sector.
“These three resignations also pose further questions. This can’t be the end of it. There were 16 employees of Davy involved – what now for the other 13?
“Who are they? Are they still employed by Davy? If so, will they resign too or do they hold senior positions elsewhere?
“These questions remain and require answers – Davy cannot be allowed to hunker down in the hope that the storm will pass.
“The findings of the Central Bank, involving senior executives at Davy, were damning.
“Davy are a big beast in our economy. The corporate broker for 13 companies on the ISEQ stock exchange and a primary dealer of Government bonds.
“Only last month Davy was a lead manager in a €5.5 billion bond sale for the state.
“Accountability cannot be at the discretion of Davy or anyone in high finance. Yesterday I wrote to the Governor of the Central Bank requesting that the Bank carries out investigations of the individuals involved with reference to MiFID and the Market Abuse Regime.
“Corporate fines do not change behaviour or hold a single individual to account. Nor can individual accountability be at the discretion of the financial sector. It must be enforced.
“Separately, I have called on the state and NTMA to cut all ties with Davy until those involved are held to account and there is a root and branch review of the organisation.
“The state cannot permit any individual or organisation who puts personal gain above its regulatory obligations to have any involvement in its assets and liabilities.”
