A High Court judge has agreed to extend the investigation by the Director of Corporate Enforcement and Garda into Anglo Irish Bank to the end of this year after he was updated today on the progress of the probe.
It is hoped the bulk of the investigation will be completed by the end of December, the court heard.
The enactment of new laws allowing reluctant witnesses in such investigations to be compelled to give evidence are also imminent as the measure - the Criminal Justice Bill 2011 - has passed the Seanad having previously passed all stages in the Dáil .
Counsel for the Director of Public Prosecutions, Una Ni Raifeartaigh SC, told Mr Justice Peter Kelly she was in court to assist it on issues concerning the investigation and the DPP was acutely aware of the need for expedition in the probe.
While the normal approach of the DPP is to receive a file only on completion of an investigation, the nature of this investigation had led the DPP to adopt a modular approach where he was regularly updated and received reports on various issues being investigated, counsel outlined.
The DPP had sought legal advice in relation to aspects of the probe as it progressed but did not intend to make a decision on whether to bring charges until the entire investigation was complete as there was overlap between strands of the investigation, counsel said.
This approach adopted meant decisions on charges, once the investigation was complete, could be made more speedily as the DPP would not have to deal with a "voluminous" file at the end of this year, she added.
Paul O'Higgins SC, for the Office of the Director of Corporate Enforcement (ODCE), told the judge substantial progress was being made but his client believed setting a deadline for completion of the probe could be "counter-productive". The Serious Fraud Office in the UK allowed four to six years for such complex investigations but the Anglo investigation was ahead of that benchmark, it was stated.
Granting the extension of time, Mr Justice Kelly said the collapse of Anglo has had devastating consequences for individuals, the State and this country's business reputation internationally requiring a comprehensive investigation.
The High Court was involved only because orders were required to allow for an extended power of seizure over documents taken from Anglo and the court had discretion whether to grant or refuse that. The law required the court to be aware of the progres of the investigation.
That was why he had last May expressed misgivings about the progress of the probe and sought to be updated on progress, he said. He had now received fuller information and was told it was believed the bulk of the investigation woudl be completed by the end of this year, subject to caveats.
He was also told new laws allowing for reluctant witnesses to be compelled to attend for interview would be soon enacted. In all those circumstances, he would extend the powers as sought.
Earlier, the judge heard a file concerning a loan to a particular Anglo director, sent to the DPP in December 2010, has been evaluated by the DPP and is with counsel for consideration.
A file on another crucial issue in the probe - transactions by Anglo directors at the end of some financial years - was substantially complete and is expected to be sent to the DPP within 14 days. That issue relates to the suspected failure of the bank to maintain a register of directors dealings with it and suspected withholding of information from auditors.
The investigation has since revealed additional refinancing transactions plus a level of complexity concerning such transactions was not previously evident, the court heard.
A file on "back-to-back" deposit arrangements with Irish Life & Permanent for the benefit of Anglo at the end of its financial year in 2008 had been sent by the Garda Bureau of Fraud Investigation to the DPP who has sent that to counsel, it was also stated. A second file on that issue was also sent to the DPP last May.
Earlier the judge was told by Mr O'Higgins certain persons regarded as key witnesses in the probe have refused to attend for interview or provide statements. Shane Murphy SC, for Anglo, said those individuals are not current employees of the bank.
In an affidavit, Supt Eamon Keogh, who has been seconded to the ODCE for the investigation, said the investigation had significantly progressed since it was last before the court in May.
Since May 4th, 20 other witnesses had been interviewed and statements taken, all relating mainly to the refinancing of loans issue. Ten other witnesses were interviewed to finalise statements about the general investigation.
Additional information had been sought under the Bankers Books Evidence Act and responses have been receieved to most of those requests. A list of legally privileged documents had been agreed with Anglo and decisions were awaited on others.
There had been detailed meetings with cousnel who had provided opinions and advices on certain issues, he added.
Despite all the challenges, the ODCE believed substantial progress has been achieved.
Given the public interest in this investigation, the ODCE believed forecasts should be given as to when the probe was likely to end but on the proviso that could be altered due to several factors, including unexpected events and a need for further investigative work.
The ODCE investigation, assisted by the Garda Bureau of Fraud Investigation, began almost two and a half years ago after millions of files were seized from the bank in February 2009. On completion of the ODCE investigation, one of several into Anglo, it could take another two years to complete any criminal prosecution.
