Taoiseach Brian Cowen, who is concluding an official visit to Japan, gave his first public response in Tokyo this morning to the dramatic decision by Government to transfer the beleaguered bank into State ownership.
Yesterday, the Taoiseach presided by telephone over an incorporeal meeting of Cabinet which reached a decision on Anglo Irish at 3pm Irish time (and midnight in Tokyo).
Today he said the timing of the move came on the eve of a scheduled extraordinary general meeting (EGM) of the bank that would allow it to recapitalise.
"We have decided moving this bank into full public ownership is the right approach, is the correct decision in these circumstances. We are satisfied that we can see this bank continue on in its business as before," said Mr Cowen.
"I had been in close touch with the Minister for Finance, monitoring this situation, even since the time before Christmas and indeed in the last few days particularly.
"We have a situation where if we didn't make our move, you have the EGM still on the table, the €1.5 billion offer (to recapitalise the bank) that was being made.
"We decided that would not now be on the table in respect of the EGM, which legally is required to be held this morning and the chairman of the bank will answer all questions at that," he said. There were angry scenes at the EGM in today when shareholders heard loans to directors in the bank totalled €179 million.
The Taoiseach was speaking to reporters after concluding a courtesy call to Emperor Akihito in the Imperial Palace in Tokyo.
Outlining the developments since Christmas when the Government decided to put up €5.5 billion to recapitalise the three main banks, he said, including €1.5 billion to Anglo Irish. When asked about the true extent of Anglo Irish's debts and exposure, he responded: "People have had concerns in the past but we want to move on now and the bank is in good stead and is solvent."
"There have been certain issues which have arisen which have affected the reputation of Anglo Irish, some corporate governance issues. Market confidence has continued to erode since then and it was on the basis of all of that it was finally decided that we would move the bank into full public ownership," he said.
Asked about the volume of debts that Anglo Irish may have on its books, he said that auditors PWC were working on this and would make an assessment to the board of the bank, under new chairman Mr O'Connor.
Mr Cowen said it the loan of more than €80 million involving former chairman Mr Fitzpatrick would be repaid in the same way as any other loan in the bank and would be repaid.
He said bank will continue as a commercial entity. It will operate at arm's length from the Government under new management that would ensure it remained in good stead and solvent.
"It will continue to do business, it will be business as usual for that bank," he said.
Anglo Irish Bank shares were suspended from the Irish Stock Exchange this morning.