David Drumm’s recorded calls played at bankers’ conspiracy trial

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

Taped telephone calls involving former Anglo Irish Bank chief executive David Drumm were played to a jury at Dublin Circuit Criminal Court. The proceedings were reported on 27 April 2016.

John Bowe (52), Willie McAteer (65), Denis Casey (56) and Peter Fitzpatrick (63) were on trial accused of conspiring together and with others to mislead investors through financial transactions between 1 March and 30 September 2008. All four had pleaded not guilty. The alleged €7.2 billion circular transaction scheme involved former executives from Anglo and Irish Life & Permanent (ILP) and was intended to bolster Anglo’s balance sheet.

On day 62, the 13-strong jury heard calls between David Drumm and John Bowe, then Anglo’s head of capital markets. The recordings were played as part of the evidence of John Bowe’s cautioned interviews with investigators from the Garda Bureau of Fraud Investigation in June 2012.

In a September 2008 discussion, David Drumm asked whether Anglo would have to “cash back” funds if it received “six billion” from ILP. John Bowe told gardaí the wording might have been loose and David Drumm might have been asking whether Anglo had money to place with ILP. He agreed the call clearly showed a relationship between Anglo’s deposits with ILP and Irish Life’s deposit back with Anglo. David Drumm also asked whether short-term inter-bank loans could “bloat” the year-end balance sheet.

The trial continued before Judge Martin Nolan and a jury.