Drumm will be sentenced tomorrow as lawyers say he was trying to solve the problem created by Sean Quinn

By Declan Brennan

The lawyers of the former CEO of Anglo Irish Bank, David Drumm, said that he was trying to solve a problem entirely created by the man of D & B. Cavan Sean Quinn

Drumm (51) from Skerries, Dublin. to be convicted tomorrow for his role in an illegal plan to lend money to the businessmen to buy stock in the bank in July 2008.

He pleaded guilty last month to ten leaders to authorize or allow Anglo Irish Bank to provide illegal financial badistance for the purchase of bank shares to the group of promoters and businessmen of Maple Ten between July 10 and 17, 2008. [19659003] These loans were part of a program to end a secret 28% stake that Sean Quinn had set up at the bank using cash and cash equivalents. financial instruments called difference contracts.

This morning Drumm was transferred from Mountjoy Prison. where he is serving a six-year prison sentence imposed last month after being convicted of conspiring to make a fraudulent loan of 7.2 billion euros.

The former banking executive appeared in court wearing an off-white polo shirt and dark blue jeans. After the evidence of the offense and a plea of ​​mitigation were heard Judge Karen O. Connor postponed her sentence until tomorrow.

In his plea Brendan Grehan SC, defending, asked the court to consider that the whole issue developed as a result of the growing financial speculation of the richest man in Ireland, Mr. Quinn, on Anglo shares using CFDs

The court heard that CFDs were actually a financial instrument allowing the buyer to play or speculate on rising or falling prices. The buyer is likely to realize significant potential gains if the stock price rises but loses in case of price decline, with payments being due each month.

The bank's price peaked in May 2007. Mr. Quinn had to pay his losses every month

Describing how instead of retiring, Mr. Quinn bought more CFD positions Mr. Grehan says: "He was still hoping he was buying more than he would have recovered on the losses he made." 19659003] This resulted in Mr. Quinn occupying, in mid-2008, 28% of the shares of the bank and that it is necessary to deal with them.

million. Grehan said that there was no doubt that "the financial regulator was serious and, dare I say, no interest in securing the outcome of Mr. Quinn's position."

"C & # 39; was a problem entirely of Sean Quinn's creation, "he said. Mr. Grehan said that this was done in secret and that the bank was placed in an incredibly vulnerable situation at the worst time.

He said that Mr. Drumm had moved heaven and earth to try to solve the problem in conventional terms. was jailed last month after a jury rendered unanimous verdicts of guilt on a charge of conspiracy to defraud and false accounting, after an 87-day trial.