Peter Matthews enlightenment to Joint committee on Finance

[ThomasB]

Excerpts, BUT EVERYONE should really listen to or read the full report
full report (http://debates.oireachtas.ie/DDebate.aspx?F=FIJ20100505.xml&Ex=All&Page=2)


The cardinal error in this strategy [NAMA] was trying to tell the Dáil, the Seanad, the President and the people that it was the only strategy available to the banks. [aka "only show in town"]

It was not. I refer the committee to the overview... It [overview produced by Mr Mathews] took the meaningful information from the then available published accounts. On one page it presents the obvious solution to addressing the banking sector’s problems.

However, when Oireachtas Members had to make a decision on the future of the largest financial project in the history of the State, they got supplementary financial information..... which expressly states it is published without responsibility or accountability. ...... produced by the institutions that behaved recklessly. .....
However, Deputies and Senators passed the legislation that has now led us into what can only be described as a financial mess.

...... the NAMA legislation chugged its way through with a propaganda-PR machine claiming it was the only show in town. What a cheap shot and pathetic phrase. It was not.

That was the tipping point of keeping banks out of nationalisation instead of truthfully asking what was the capital requirement of the banking sector. The answer was not €23 billion of write-downs; the IMF told us it was €35 billion.

We need to hear the truth that AIB in effect needs €10 billion. It also needs a fresh board of directors and a recovery division which will recover those write-down loans.......

Recovering loans when they go bad, the operability of security, the complexity of the operability and the instructions needed is a job for bankers who are competent, uncompromised, non-conflicted, non-contaminated and non-corrupted.

....We have waited 19 months to be led around in circles of unreliable, inaccurate and untruthful information.

Anglo Irish Bank.... Some 60% of the debt will probably never be recovered. We must, therefore, face the music and realise there is no point in haemorrhaging and using sticking plasters for the next ten or 15 years.

Deputy Joan Burton: Mr. Mathews .... referred to “unreliability” and to the public being lied to, in the information it was given. .... to information being manipulated and the need for honest measures. .... does that mean there has been no honest accounting by either the Department of Finance or the Government in relation to the level of seriousness of the conditions in the banks?......

Most of all, when he uses terms such as “lied to”, does that mean he believes we really have not been told the truth by the various parties?

Mr. Peter Mathews: Yes, absolutely, I use that term carefully and advisedly. I have been using figures only from published material, doing estimates on those from tested experience, ........

An important bit not on the video

Deputy Joan Burton: Excuse me. I want to make a brief point under any other business. Mr. Donal O’Connor, as the outgoing chairman of Anglo Irish Bank, promised this committee months ago to come back here to go through the figures.
.....
Chairman: I have heard the Deputy twice on the matter. I advised her that we will contact the bank on that point.

----------

Mr. Peter Mathews: I thank the Chairman and the members for their attention. If I was a little passionate at times, I apologise, but it is with the best interests at heart of the country and of everybody who is doing their best. I am an optimist for Ireland but one can only be optimistic when one is realistic, truthful and properly equipped to do the job that is necessary to be done.

Looks like Mr. o'Connor may be taking advice from Seannie ::mad::mad::mad:

Isn't it interesting that our government must wait months to speak to somone who needs to answer questions and ironically makes a person with answers wait months and then gives little time to him to provide much needed answers :shock: :shock: :shock:

It is good to see Irish people Standing up & being counted, it makes me feel optimistic :D :D :D

select here to watch one of 5 videos (too tired to post all)

[C. Flower]

Thanks ThomasB - I can't think how I missed this.

http://bankermathews.com/

[PaddyJoe]

I love the way he slaps Frank Fahey down!
YouTube- Oral presentation to Joint Committe on Finance & the Public Service

[ThomasB]

I love better, the way he plainy spoke and got right to the point.
and made the numbers understandable

[C. Flower]

NAMA, the Bank Guarantee, the employment and credit crisis are all being handled by Government imo about as badly as is possible.

I think its time to find the "least worst" alternative options for how to deal with the Irish economic crisis: i'm going to start some threads to look at specific solutions, proposed by a number of individuals - economists, bankers, politicians.

Peter Mathews, a banker, presented his proposal to an Oireachtas Committee on Finance and Public Service this afternoon:



Mathews wants Anglo Irish wound up, starting immediately and taking three or four years.

He wants the other banks taken into public ownership for at least five years.

NAMA he says should be wound up and the loans put back in the Banks, who should deal with them.


As soon as its available, I'll put a transcript on the thread, but his blog covers his ideas

-http://bankermathews.com/ (http://bankermathews.com/)

here you go---

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 9/10


RTE News described the reception given to him by the Finance Committee as "hostile".

[Murra]

NAMA, the Bank Guarantee, the employment and credit crisis are all being handled by Government imo about as badly as is possible.

I think its time to find the "least worst" alternative options for how to deal with the Irish economic crisis: i'm going to start some threads to look at specific solutions, proposed by a number of individuals - economists, bankers, politicians.

Peter Mathews, a banker, presented his proposal to an Oireachtas Committee on Finance and Public Service this afternoon:



As soon as its available, I'll put a transcript on the thread, but his blog covers his ideas

-http://bankermathews.com/ (http://bankermathews.com/)

here you go---

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 9/10 (http://www.youtube.com/watch?v=wNFbl525fkM&feature=player_embedded)


RTE News described the reception given to him by the Finance Committee as "hostile".

Why am I not surprised that he was received with hostility? I have great respect for Peter Mathews - he always made sense to me.

I would like to hear a 'least worst' option from Feasta/Richard Douthwaite.

[ang]

I got to see some of this today. He actually told Frank Fahey how the whole NAMA process worked and explained to Mr Fahey that he didn't understand the NAMA workings with the ECB.

Peter Mattahews rubbished the idea that no other advice was available to the Government and said that they were lying. He himself had made himself available to the DoF and had a meeting with Brian Lenihan trying to show him the pitfalls of what he (BL) was doing.

He also said taking advice from people like KPMG & PWC, Merrill Lynch et al who had no understanding of the Irish Bank/Property market, whilst people like himself, Karl whelan, Brian Lucey and others like them would have in his view been the right people to give advice.

[musashi]

Every alternative to NAMA is met with hostility.
It is quite clear that it is considered the only game in town.
A toxic solution for a toxic problem.

btw this is a great overview of the lead up to the crisis...
http://bankermathews.com/the-alternative/

[Slim Buddha]

Anybody who talks a modicum of sense on this issue will be met with hostility by the hired hewers of the vested interests for whose benefit NAMA was designed.

[Murra]

Anybody who talks a modicum of sense on this issue will be met with hostility by the hired hewers of the vested interests for whose benefit NAMA was designed.

That sums it up precisely.

[C. Flower]

Ah - frustrating - it's a great, highly watchable short video - about 5 minutes - in which Mathews refutes Frank Fahey's nonsense, YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 9/10

but I was hoping for his presentation. I'll look for it again.

[disability student]

Why am I not surprised that he was received with hostility? I have great respect for Peter Mathews - he always made sense to me.

I would like to hear a 'least worst' option from Feasta/Richard Douthwaite.

Yeah his comments which i find it refreshing... lot of common sense.

[C. Flower]

This is Part 7 - sorry about it being out of sequence,

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 1/10


YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 2/10


YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 3/10


YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 7/10


YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 9/10

[C. Flower]

Someone is uploading these every ten minutes or so.

[PaddyJoe]

Great stuff by Matthews. Particularly in the last few minutes with the obvious sincerity of his appeal for people to step aside if they don't understand what is involved. That's the second time he has steamrollered over Fahey.
The only useful thing that Fahey did was to ask when they are going to call in the NAMA representatives to ask why the loan transfer process was going so slowly.
Perhaps Frank has a few banks breathing down his neck?:)

[Murra]

[QUOTE=C. Flower;49777]

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 1/10

Note: 0.17 Chairperson requests that all mobile phones are turned off.

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 2/10

0.30 Dan Boyle, on his phone.

[PaddyJoe]

[QUOTE=C. Flower;49777]

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 1/10 (http://www.youtube.com/watch?v=IGJcilS0OuI)

Note: 0.17 Chairperson requests that all mobile phones are turned off.

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 2/10 (http://www.youtube.com/watch?v=7pIInx_0cnA)

0.30 Dan Boyle, on his phone.

Well spotted:D
No tweets though!

[Murra]

[QUOTE=C. Flower;49777]

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 1/10 (http://www.youtube.com/watch?v=IGJcilS0OuI)

Note: 0.17 Chairperson requests that all mobile phones are turned off.

YouTube- Peter Matthews, Dail Finance Committee, 20100721 Pt 2/10 (http://www.youtube.com/watch?v=7pIInx_0cnA)

0.30 Dan Boyle, on his phone.

YouTube- Peter Mathews, 20100721 Pt 4/10, Dail Finance Committee

0.55 Dan Boyle has left the chamber.

Does this mean that Dan Boyle knows better than renowned financial expert Peter Mathews and he doesn't need to listen?

Or is he just having withdrawals from his phone? :confused:

[PaddyJoe]

This should be worth a look.

[C. Flower]

It is so far...

[C. Flower]

"A small discrete group of talented generalist civil servants" (according to Kevin Cardiff) kept control over the Irish response to the developing banking crisis.

When the sh1t hit the fan in September 2008, they hadn't a clue what was going on, handed it over the English firms who had no knowledge of what had been happening in Ireland and blundered over the abyss.

[Bertie Basher]

Peter Matthews is vg. Sarah should have her own show.... we are slowly been told the crap that happened on that infamous night and there is a lot more to get out.

[C. Flower]

Peter Matthews is vg. Sarah should have her own show.... we are slowly been told the crap that happened on that infamous night and there is a lot more to get out.

Even more important, Mathews is seriously trying to work out what should be done for the general good -- rather than manoevering and skewing every event to protect and benefit the golden circle.

[Bertie Basher]

Yes, he is looking at it from a non political perspective. FF are too interested on the political implications as oppose what is best and this is their policy for years and more so is the best example of Sept 29th 2009, I will look at interest at my kids history eBooks in years to come.

[PaddyJoe]

Gerry O'Regan of the Indo spinning for all he's worth. I nearly fell on the floor laughing when Matthews commented 'That's just Fianna Fail propaganda, Gerry":D

[PaddyJoe]

Matthews described Kevin Cardiff's testimony today at the PAC as 'disingenuous' and 'downright dishonest'.

[disability student]

Matthews described Kevin Cardiff's testimony today at the PAC as 'disingenuous' and 'downright dishonest'.


Was there any mention of Peter Bacon the economist?

It was he who drew up a report re properties before the boom.

It was he who drew up a report re post 29th September 2008 which paved the way for SCAMA.

[Bertie Basher]

Matthews described Kevin Cardiff's testimony today at the PAC as 'disingenuous' and 'downright dishonest'.

Yes fairly direct on that. Wonder if he will be on the airwaves in the am as he seems to be on a roll.

[PaddyJoe]

Was there any mention of Peter Bacon the economist?

It was he who drew up a report re properties before the boom.

It was he who drew up a report re post 29th September 2008 which paved the way for SCAMA.

No mention of Bacon this evening but I think that Matthews made a veiled reference yesterday at the PAC to the setting up of NAMA by a property insider without mentioning him by name.

[C. Flower]

No mention of Bacon this evening but I think that Matthews made a veiled reference yesterday at the PAC to the setting up of NAMA by a property insider without mentioning him by name.

Bacon just did what he was told (briefed) and picked up the fee.

[disability student]

No mention of Bacon this evening but I think that Matthews made a veiled reference yesterday at the PAC to the setting up of NAMA by a property insider without mentioning him by name.

I am wondering why the media didn't mention or didnt select on P Bacon?? Are they blind or choose not to do so particularly the Sindo.

I recalled a report by Indecon on tax incentives which said that the govt were losing it in terms of tax gains.. These tax incentives were suggested by the same economist employed by the present govt FF. Now look it led a crooked road to the bankruptcy of our economy.

[musashi]

Carey talks too much, interrupts her guests too often.

[disability student]

Bacon reports are here :

http://www.environ.ie/en/Publications/DevelopmentandHousing/Housing/FileDownLoad,2071,en.pdf

http://www.esatclear.ie/~buildingwithbacon/br1.htm

http://www.ft.com/cms/s/aed2ae60-1c91-11de-977c-00144feabdc0,dwp_uuid=f5d27f8a-a517-11dd-b4f5-000077b07658,print=yes.html

(he advised the govt re setting up of Ango Irish bad bank as he should have seen the insolvency of that bank big time)

Btw, he's appointed as an advisor to SCAMA.

[PaddyJoe]

Good background here on Peter Bacon:

Fifty-five years old, Bacon grew up in Drumcondra and attended Coláiste Mhuire in Parnell Square. He entered the Dept of Finance in 1975, but a couple of years later moved on to a role in Paris with the OECD. He subsequently worked in the Economic and Social Research Institute, the National Planning Board, and the World Bank before in the mid-1980s joining Goodbody Stockbrokers as chief economist. By the early 1990s he had become managing director.

There was then a short stint as economic adviser in the Department of Finance when Bertie Ahern was the minister, only for that to be cut short by the collapse of the Fianna Fáil/Labour coalition. Nevertheless, he and Ahern remain friends.

In the past decade or so he has been commissioned to write reports on a range of interests, including the marine sector, the M1 interchanges at Drogheda, the market for apartments in Dublin’s city centre, forestry, biotechnology, the Personal Injuries Assessment Board, a third-level college in Wexford and the meat industry. He calculated the heavy financial cost of road deaths. He was asked by the Moriarty Tribunal to examine the competition that led to the awarding of a mobile licence to Esat Digifone, the consortium found by Denis O’Brien.
http://www.irishtimes.com/newspaper/weekend/2009/0411/1224244433717.html

[disability student]

PMG,

Thanks re links:

Interesting re Drumcondra where Ahern grew up.

Re Moriarty tribunal, they shouldn't have asked him in the frist place as it may amount to bias/conflict of interest due to his connections to FF and B Ahern.

An outsider economist would be better off employed especially in the area of competition. His speciality was in property.

[Newsy]

PMG,

Thanks re links:

Interesting re Drumcondra where Ahern grew up.

I thought the same thing.

[disability student]

Good background here on Peter Bacon:


http://www.irishtimes.com/newspaper/weekend/2009/0411/1224244433717.html


I thought the same thing.

It does suggest that BA doesn't trust anybody except for some people whom he knew when growing up in Drumcondra.

It reminded me of the 'mafia' gang that operated out of St lukes such as the paddy the plasterer et al.

[PaddyJoe]

Without getting too cynical about it I noticed that Peter Matthews was very enthusiastic about James Reilly and Michael Noonan when the FG shennaigins were discussed. Of course he also followed up with a favourable opinion on Joan Burton.
In fairness he is an economic consultant and I don't doubt his sincerity after his speech to the PAC when he mentioned the prospects for his grown up children in recession Ireland.
I'd certainly like to see him analysing the Anglo books;)

[wickedfairy]

Carey talks too much, interrupts her guests too often.

totally agree, loves the sound of her own voice and won't let anyone finish their piece, enough already, come back Vinny all is forgiven (even your grouchiness)

[wickedfairy]

Even more important, Mathews is seriously trying to work out what should be done for the general good -- rather than manoevering and skewing every event to protect and benefit the golden circle.

cant understand why he has not been brought on board to give the country advice or am I missing something or just terribly naive?

[ThomasB]

cant understand why he has not been brought on board to give the country advice or am I missing something or just terribly naive?

I think this may be a goal for Peter, but he does say it straight and doesn't pull any punches. He's probably TOO straight to get a job though