TAOISEACH BRIAN Cowen, who is in Japan on a State visit, was in constant telephone contact with Minister for Finance Brian Lenihan as the situation regarding Anglo Irish Bank developed during the course of the day, his spokesman has said.
The Taoiseach presided over the incorporeal Cabinet meeting that decided to nationalise the bank by telephone from his hotel in Tokyo.
The decision was made at midnight local time or 3pm Irish time.
“There were numerous telephone conversations between them during the day and in the previous days,” said Mr Cowen’s spokesman from Tokyo.
“The Taoiseach was heavily engaged with the Minister for Finance and senior officials throughout the day and the days beforehand.
“The discussions intensified during the course of yesterday.”
The spokesman continued that the decision which was brought to Cabinet last night had been fully worked through and examined in detail in advance.
He said that the Taoiseach, Mr Lenihan and the Cabinet were all in full agreement on the approach to be adopted.
Mr Cowen spoke to the Irish media in Tokyo at 9pm local time (midday Irish time) last night, some three hours before the decision was taken but made no reference to the developing situation.
He was asked about Fine Gael’s decision to oppose the Government’s €1.5 billion recapitalisation of Anglo Irish Bank and defended the decision on the basis that the institution was of “systemic importance” to the Irish banking system.
He also pointed out that that status had been confirmed as such by the European Commission, which decided on Wednesday that the recapitalisation was consistent with the state aid allowable during the crisis.
Earlier he had held a bilateral meeting with Japanese prime minister Taro Aso.
He had also been a guest at a working dinner hosted by the prime minister.
Mr Cowen said that both men had discussed the global recession during the meeting and how it had affected the respective economies of both countries.
The spokesman said last night that the Fine Gael announcement was not a factor in the process.
He said that, for obvious reasons, the decision-making process had to be kept highly confidential.
The nationalisation of Anglo Irish Bank was announced after the markets had closed in Ireland at 8pm Irish time (5am in Japan).
Mr Cowen is to give his first public reaction to the decision following his courtesy call to Emperor Akihito at the Imperial Palace in Tokyo today.
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