David Drumm pleads not guilty as Anglo trial hears evidence

This report is a localnews.ie summary based on public court reporting and records; sources are listed below.

David Drumm has pleaded not guilty to conspiracy to defraud and false accounting. The proceedings at Dublin Circuit Criminal Court were reported on 11 April 2018.

The conspiracy charge alleges that Drumm and former bank officials Denis Casey, William McAteer, John Bowe and others dishonestly created the impression that Anglo Irish Bank’s deposits in 2008 were €7.2 billion larger than they were, to defraud depositors and investors. The false accounting charge concerns information furnished to the market on 3 December 2008 stating that deposits were €7.2 billion larger than they were.

Drumm accepts that multi-million euro transactions took place between Anglo and Irish Life & Permanent in 2008, but disputes that they were fraudulent or dishonest.

On the 52nd day of the trial, former non-executive director Michael Jacob told the jury that Anglo had sought checks and balances during the financial crisis. Speaking to defence counsel Tessa White on 11 April, he said Anglo had asked PWC to review its audit and risk committees in 2008 to ensure there were no overlaps or gaps.

Jacob also told prosecuting counsel Sinead McGrath that he attended a board meeting on 24 October 2008. He said he did not recall discussion of a reference to an Anglo transaction with Irish Life & Permanent in a PWC report circulated at the meeting. He said the report recorded the transaction and that it was the first time they had seen it.

The trial was continuing before Judge Karen O’Connor and a jury.