The former bosses of Irish Nationwide have been hit with a multi-million euro bill for their part in the banking crisis.

The four directors will hand over between €15m and €20m to settle an action taken against them after the building society's collapse at a cost of more than €5bn.

The majority of the repayment will be covered by their insurers AIG, however the former CEO Michael Fingleton was removed from the policy on the day the bank was nationalised and could be left exposed.

Details of the proposed settlement were first revealed in the Sunday Business Post in February, but the final deal was struck last week in return for the case being dropped.