A former board member of Anglo Irish Bank wrote emails praising the 'fantastic work' of the then CEO David Drumm in trying to place bank shares with the Maple 10.

In a reply, the Anglo Chief assured non-executive director Gary McCann that the 'entire transaction' had been explained to the Financial Regulator.

Gary McGann is currently the Chief Executive of Smurfit Kappa, but he was a non-executive director at Anglo Irish Bank at the time of the allegedly illegal loans for shares deal in July 2008.

He has told Dublin Circuit Criminal Court he does not recall being informed that Anglo was providing funds to the Maple 10 to invest in the bank.

The aim of the transaction was to dilute the 29% stake that Sean Quinn had secretly built up in Anglo using a financial instrument called Contracts for Difference (CFDs).

Mr. McGann is one of several witnesses to outline to the court his concerns that Mr. Quinn's interest was destabilising the bank's share price.

In a series of e-mails between Gary McGann and David Drumm on the July 10th and 11th 2008, the former board member praised the CEO for doing 'fantastic work in challenging circumstances' and wrote 'we're all rooting for you'.

However he also raised with Mr. Drumm 'the need to have a credible explanation for where we got where we are' and why they 'must assume the worst case scenario'.

In the witness box, he told prosecution counsel Úna ní Raifeartaigh SC that he meant the transaction would have to be explained to shareholders and possibly others.

'Total disclosure is always challenging in my view' he said.

Mr. Drumm replied to Mr. McGann in an e-mail that the 'entire transaction' had been explained to the Regulator and Morgan Stanley, who had to pass its own compliance checks.

The Anglo Chief said he felt 'good' about the deal.