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Minister for Finance Statement on Direction Order for Irish Life and Permanent plc
The Minister for Finance, Michael Noonan T.D., was today granted a Direction Order by the High Court in respect of Irish Life and Permanent plc (ILP).
The Board of Irish Life & Permanent Group Holdings plc (ILP Group) requested the Minister to exercise his powers under the Credit Institutions (Stabilisation) Act 2010 to petition the High Court for a direction order in order to allow ILP take steps to prepare the business and assets of Irish Life Limited for disposal by way of initial public offering or by way of private sale.
The disposal of the life business arises from the ILP Group’s announcement on 31st March last that the Group would have to dispose of certain assets to generate the capital levels required by the Central Bank following the announcement by the Central Bank of the stress tests on 31 March 2011.
The disposal of assets in tandem with burden sharing with subordinated bondholders will mitigate the cost to the taxpayer of providing the required capital to ILP.