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Press Statement
Presentation of the Ansbacher Report to the High Court
The Director of Corporate Enforcement, Mr Paul Appleby, has today welcomed the
completion of the Inspectors’ Inquiry into Ansbacher (Cayman) Ltd. and the presentation
of the Report to the High Court. He understands that the Court has ordered:

that a copy be forwarded to the Director of Corporate Enforcement and to the
Tánaiste and Minister for Enterprise Trade and Employment;

that the Report not to be published or its contents disclosed and

that proceedings on the Report be adjourned to Monday, 24 June 2002.
The Director of Corporate Enforcement has commented on this development as follows:
“The Ansbacher Inquiry has been a very difficult and prolonged assignment. The
completion of the Inquiry has required a huge effort to overcome a number of
inherent obstacles, including the restrictive secrecy laws governing financial
operations based in the Cayman Islands, an absence of certain documentation, the
death of some of the principals involved and the passage of time since Ansbacher
(Cayman) Ltd. began conducting business in Ireland in the early 1970s.
I want to acknowledge the substantial commitment of the Inspectors and their
support staff in bringing the Inquiry to a successful conclusion. Judge Sean
O’Leary, Mr Michael Cush, S.C., Ms Noreen Mackey and Mr Paul Rowan
deserve our thanks. The former Inspector, Mr Justice Declan Costello, also merits
our appreciation for getting the Inquiry successfully started. The earlier work of
Mr Gerry Ryan and his team in the Department of Enterprise Trade and
Employment who undertook the preliminary examination of Ansbacher’s affairs
in the State also greatly contributed to the successful establishment of the Inquiry.
As Director of Corporate Enforcement, my immediate task is to study the Report
and determine, in conjunction with my staff and legal advisers, what should be
our appropriate response. One of the first issues to be considered by the Court
will be the question of its publication, and I hope that it will prove possible for the
Court to publish the Report in full at an early date.
Pending further Court proceedings which will determine the extent to which the
Report will be published, the contents of the Report will remain confidential as
ordered by the High Court this morning. In order not to prejudice these
proceedings in any way, I will also be refraining from further public comment in
the interim.”
10 June 2002
ENDS/.
Editor’s Note
Completion of the Ansbacher (Cayman) Ltd. Report
The existence of the “Ansbacher Accounts” first came to public notice in early 1997
during the proceedings of the Tribunal of Inquiry (Dunnes Payments) which was chaired
by Mr Justice Brian McCracken. The Inquiry Report which was published in August
1997 dealt with the activity of Ansbacher (Cayman) Ltd. in Ireland to the extent that it
was possible to do so within its terms of reference.
In January 1998, the Tánaiste and Minister for Enterprise Trade and Employment, Ms
Mary Harney, T.D., decided to examine the books and documents of Ansbacher
(Cayman) Ltd. under section 19 of the Companies Act 1990 and appointed Mr Gerry
Ryan of her Department for that purpose.
Following the completion of Mr Ryan’s Report, the Tánaiste and Minister for Enterprise
Trade and Employment decided in July 1999 to petition the High Court for the
appointment of Inspectors to Ansbacher (Cayman) Ltd. This petition was granted on 22
September 1999. A copy of the relevant High Court Order of that date, as amended on 5
October 1999, is attached at Appendix 1.
Following the later resignation of Mr Justice Costello on health grounds, the High Court
agreed in December 2000, on the application of the Tánaiste and Minister for Enterprise
Trade and Employment, to appoint Judge Sean O’Leary and Mr Michael Cush, S.C., as
Inspectors in his place.
The completion of the Inspectors’ Report and its submission to the High Court today (10
June 2002) represents the end of this phase of the process. It now falls to the High Court
to consider, in the light of the contents of the Report, what further action should be taken
by it. Sections 11, 12 and 13 of the Companies Act 1990 (as amended respectively by
sections 24, 25 and 26 of the Company Law Enforcement Act 2001) outline the options
for consideration by the High Court. A consolidated version of sections 11 to 13
inclusive is at Appendix 2.
APPENDIX 1
Terms of Reference of the Ansbacher Inquiry
THE HIGH COURT
1999 No. 163 COS
Wednesday the 22nd day of September 1999
BEFORE MR. JUSTICE JOHNSON
IN THE MATTER OF THE COMPANIES ACTS 1963 TO 1990
AND IN THE MATTER OF PART II OF THE COMPANIES ACTS 1990 AND Ss. 8
AND 17.
AND IN THE MATTER OF ANSBACHER (CAYMAN) LIMITED
(FORMERLY GUINNESS MAHON CAYMAN TRUST LIMITED ANSBACHER
LIMITED AND CAYMAN INTERNATIONAL BANK AND TRUST COMPANY
LIMITED)
ON THE APPLICATION OF
THE MINISTER FOR ENTERPRISE TRADE AND EMPLOYMENT
Upon the application of Counsel for the Applicant made unto the Court on this day
pursuant to Notice of Motion herein filed on the 30th day of July 1999
The Honourable Mr Justice Frederick H Morris the President of the High Court
assigned The Honourable Mr Justice Richard Johnson to hear the application
Upon reading the said Notice of Motion the Affidavits of service of John Lawless
Brian Cox Christina Loughlin Hal McGuckin all filed in Court on this day and the
documents and exhibits in said Affidavits referred to the Affidavit of Gerard Ryan filed in
Court on this day the Affidavit of Paul Appleby sworn on the 26th day of July 1999 the
documents and exhibits in said Affidavit referred to the second Affidavit of Paul Appleby
filed in Court on this day (seeking inter alia the appointment of the persons named
hereunder as Inspectors) the documents and exhibits in said Affidavit referred to and on
hearing said Counsel there being no appearance on behalf of the Company in the title
hereof.
The Court doth deem good and sufficient service the service effected by the said Hal
McGuckin and referred to in his Affidavit filed in Court on this day
IT IS ORDERED pursuant to Section 8 of the Companies Act 1990 that the persons
named hereunder be appointed as Inspectors to investigate the affairs of Ansbacher
(Cayman) Limited (formerly Guinness Mahon Cayman Trust Limited Ansbacher Limited
and Cayman International Bank and Trust Company Limited)
a)
The Honourable Mr Justice Declan Costello
b)
Ms Noreen P Mackey Barrister-at-Law
c)
Paul F Rowan Chartered Accountant
IT IS ORDERED that the said Inspectors investigate and report to the Court on the
affairs of the Company in the title hereof and in particular
(a)
to examine and define the nature and extent of the Company’s Irish
business from 1971 to date i.e. the business carried out in the State or any other
business carried out on behalf of Irish residents whether in the State or elsewhere
(b)
to identify as far as possible all of the parties who were either officers
(including shadow directors) and agents of the Company clients of the Company
or who otherwise assisted in the carrying out of the business at the relevant time
(c)
to examine whether the Companies Acts 1963-1990 were breached by
the company its officers (including shadow directors) agents or third parties at the
relevant time and if so to identify the provisions involved and the persons in
default in each case
(d)
to examine whether the affairs of the Company were conducted with intent
to defraud its creditors or the creditors of any other person or otherwise for a
fraudulent or unlawful purpose and if so to identify the statutory provisions
involved and the persons in default in each case
(e)
to report on any related matters
IT IS ORDERED that the Applicant be at liberty to furnish to the sole chairman of
the Tribunal of Enquiry (Payments to Mr Charles Haughey and Mr Michael J Lowry) the
exhibits referred to at paragraph 16 of the Affidavit of Paul Appleby sworn on the 26th day
of July 1999
And IT IS ORDERED that the restrictions on the disclosure of the exhibits
referred to in the said Affidavit of Paul Appleby sworn on the 26th day of July 1999 be
continued save those opened and read in open Court on this day
REGISTRAR
Chief State Solicitor
Solicitor for the Applicant
APPENDIX 2
Amended Version of Sections 11 to 13 of the Companies Act 1990
Inspector's reports.
11.—(1) Inspectors appointed under section 7 or 8 may, and if so
directed by the court shall, make interim reports to the court and on
the conclusion of the investigation, shall make a final report to the
court.
(2) Notwithstanding anything contained in subsection (1), an
inspector appointed under section 7 or 8 may at any time in the
course of his investigation, without the necessity of making an
interim report, inform the court of matters coming to his knowledge
as a result of the investigation tending to show that an offence has
been committed.
(3) Where inspectors were appointed under section 7 or 8, the
court shall furnish a copy of every report of theirs to the Minister
and the court may, if it thinks fit—
( a ) forward a copy of any report made by the inspectors to
the company's registered office,
( b ) furnish a copy on request and payment of the
prescribed fee to—
(i) any member of the company or other body
corporate which is the subject of the report;
(ii) any person whose conduct is referred to in the
report;
(iii) the auditors of that company or body corporate;
(iv) the applicants for the investigation;
(v) any other person (including an employee) whose
financial interests appear to the court to be affected
by the matters dealt with in the report whether as a
creditor of the company or body corporate or
otherwise;
(vi) the Central Bank, in any case in which the
report of the inspectors relates, wholly or partly, to
the affairs of the holder of a licence under section 9
of the Central Bank Act, 1971;
(ba) furnish a copy to –
(i)
an appropriate authority in relation to any of
the matters referred to in section 21(1)(a) to (fb); or
(ii)
a competent authority as defined in section
21(3)(a) to (i);
and
( c ) cause any such report to be printed and published.
(4) Where the court so thinks proper it may direct that a
particular part of a report made by virtue of this section be omitted
from a copy forwarded or furnished under subsection (3) (a), (b) or
(ba), or from the report as printed and published under subsection
(3) (c).
Proceedings on
inspectors report.
Expenses of
investigation of
company's affairs.
12.—(1) Having considered a report made under section 11, the
court may make such order as it deems fit in relation to matters
arising from that report including—
( a ) an order of its own motion for the winding up of a body
corporate, or
( b ) an order for the purpose of remedying any disability
suffered by any person whose interests were adversely
affected by the conduct of the affairs of the company,
provided that, in making any such order, the court shall have
regard to the interests of any other person who may be
adversely affected by the order.
(2) If, in the case of any body corporate liable to be wound up
under the Companies Acts, it appears to the Director from—
( a ) any report made under section 11 as a result of an
application by the Director under section 8, or
( b ) any report made by inspectors appointed by the
Director under this Act, or
( c ) any information or document obtained by the Director
under this Part,
that a petition should be presented for the winding up of the body,
the Director may, unless the body is already being wound up by the
court, present a petition for it to be so wound up if the court thinks
it just and equitable for it to be so wound up.
13.—(1) The expenses of and incidental to an investigation by an
inspector appointed by the court under the foregoing provisions of
this Act shall be defrayed in the first instance by the relevant
Minister but the court may direct that any person being—
( a ) a body corporate dealt with in the report, or
( b ) the applicant or applicants for the investigation,
shall be liable, to such extent as the court may direct, to repay the
relevant Minister, provided that no such liability on the part of the
applicant or applicants shall exceed in the aggregate £100,000.
(2) Without prejudice to subsection (1), any person who is—
( a ) convicted on indictment of an offence on a prosecution
instituted as a result of an investigation,
( b ) ordered to pay damages or restore any property in
proceedings brought as a result of an investigation, or
( c ) awarded damages or to whom property is restored in
proceedings brought as a result of an investigation,
may, in the same proceedings, be ordered to repay all or part of the
expenses referred to in subsection (1) to the relevant Minister or to
any person on whom liability has been imposed by the court under
that subsection, provided that, in the case of a person to whom
paragraph (c) relates, the court shall not order payment in excess of
one-tenth of the amount of the damages awarded or of the value of
the property restored, as the case may be, and any such order shall
not be executed until the person concerned has received his damages
or the property has been restored, as the case may be.
(3) The report of an inspector may, if he thinks fit, and shall, if
the court so directs, include a recommendation as to the directions (if
any) which he thinks appropriate, in the light of his investigation, to
be given under subsection (1).
(3A) In this section ‘relevant Minister’ means(a)
in case the inspector or inspectors concerned was or
were appointed under section 7, the Minister for Justice,
Equality and Law Reform, and
(b)
in case the inspector or inspectors concerned was or
were appointed under section 8, the Minister for Enterprise
Trade and Employment.