Hearing Delayed for Ex-Nationwide Boss

The forthcoming trial of former Irish Nationwide Building Society (INBS) chief, Michael Fingleton, set in motion by a liquidator, is slated to begin in the early part of next year, given that the Supreme Court allows its progression. Initially, it had been temporarily set for an October trial, however, as the Supreme Court’s judgment has still not been provided on Mr. Fingleton’s third attempt to dismiss the civil lawsuit on unfairness grounds, the trial date has been shifted to January. Previously, in 2012, the case was expected to happen in March.

Suffering from a stroke five years ago and in a debilitating state, Mr. Fingleton, who is now 86, has relinquished his powers to his wife and son, Michael Fingleton Junior, through a power of attorney. They argue that a proper defense is not feasible due to his incapacity and inability to assist in his defense.

The attempts to halt the case, brought by the State-owned Irish Bank Resolution Corporation (IBRC) liquidators in 2012 after the INBS succumbed, have been rejected by both the High Court and Court of Appeal. The appeal court mooted that the elderly man failed to exhibit a genuine or significant risk of an unfair trial or an unjust outcome.

In March, Mr. Fingleton’s attorneys claimed to the Supreme Court that the principal witness was missing, while the IBRC liquidators disputed that suspending a case pre-trial is an “extreme action only to be enforced in extraordinary occasions and clear cases”. The court is yet to set the decision delivery date.

The case brought by IBRC accuses Mr. Fingleton, in his role as managing director and CEO, of maintaining disproportionate control over the INBS business and disregarding its lending regulations. The initial claim was valued at €6 billion, which was the loss incurred by the financial institution following the 2008 property market slump. The claim has since been reduced to approximately €290 million and pertains to five series of loans issued between 2006 and 2009.

The allegations have been refuted.

Michael Fingleton Junior, who previously stated in 2006 that his father’s worth stood at €75 million, recently reported that his father presently has less than €25,000 across two personal bank accounts, and an overwhelming judgement debt of over €10.7 million as of end of 2022.

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