Cowen urges Quinn resolution

Taoiseach Brian Cowen today urged both the management and workforce of Quinn Insurance to work with the administrator with a …

Taoiseach Brian Cowen today urged both the management and workforce of Quinn Insurance to work with the administrator with a view to getting the company back on a sound financial footing.

Mr Cowen said that the best way to address concerns about maintaining jobs at the company was for everyone to work with the administrator and he pointed out that many other companies within the wider Quinn Group remained profitable.

"The whole purpose of administration now is to work with the management and the workforce to see what way we can ensure that the business goes forward in a viable way," the Taoiseach said Cork.

"I think it's time for everybody now to get behind the situation and try and make sure that the problems there are resolved, talks will continue in that respect and hopefully we can see a commercial outcome that will maximise and maintain jobs at the greatest extent we possibly can."

Meanwhile, workers at Quinn Insurance will hold a meeting on Monday to discuss the appointment of administrators to the business.

The Quinn Insurance Employee Committee said it had extended invitations to representatives from all political parties and intended addressing the issue of job security. It said Minister for Finance Brian Lenihan had confirmed he will attend.

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Earlier today, one of the administrators appointed to the beleaguered Quinn Insurance business said no discussions with potential suitors had yet taken place.

Michael McAteer of Grant Thornton said there were a number of options available regarding the sale of the company, but it was “way too soon” to decide on any one path.

It is understood that up to 30 expressions of interest have been received from potential buyers for the State’s second largest insurance company.

Mr McAteer said it was particularly important that there was “clarity” in relation to his role at the company. His role, he said, was to operate the business as a going concern and to ensure it was returned to a stable financial footing.

While the main shareholder in the insurance firm remained the Quinn Group, it was in the gift of the administrators to sell the business if they believed it to be the right course of action, Mr McAteer told RTÉ's Morning Ireland.

But he said that course of action had not even been considered at this early stage of the process as it was well within the remit of its owner to return the company to a sound financial footing to the satisfaction of the administrators, the Financial Regulator and the High Court.

Yesterday businessman Séan Quinn conceded defeat in his battle to stop the Financial Regulator putting Quinn Insurance into administration and effectively relinquished control of the company.

In a dramatic reversal of its position, the Quinn Group withdrew its opposition, leading the High Court to appoint permanent administrators to the insurer. The regulator and the insurer said the move was in the best interests of 1.3 million policyholders.

The appointment of administrators, Mr McAteer and Paul McCann of Grant Thornton, allows them to commence talks with potential buyers as they attempt to put the firm on a sound commercial and financial footing.

It is understood that up to 30 expressions of interest have been received from potential suitors although the administrators stressed yesterday that no consideration has been given to a sale at this point.