Updated 12.00
Up to €60 million held on reserve by the Irish League of Credit Unions to bail out troubled member institutions has already been committed.
The pot of between €120 and €130 million was designed as 'a rainy day fund' to help credit unions that find themselves short on reserves, but it's emerged that between €50 and 60 million has already been guaranteed to certain institutions.
The League argues the remaining amount is well in excess of the €11 million required by the 20 troubled institutions the Tánaiste referred to in the Dáil yesterday. The Chief Executive of the ILCU insists it is enough to ensure that taxpayers will not be required to bailout any other credit union.
On Sunday night, PTSB was required to takeover Newbridge Credit Union, at a cost of €54 million to the public purse.
The ILCU says Newbridge Credit Union is not a member of the League, which subjects its member institutions to inspections. Member institutions currently hold reserves of €1.68 billion.
CEO of the Irish League of Credit Unions, Kieran Brennan, told Newstalk's Breakfast it would be inappropriate to name the 20 troubled institutions:
Meanwhile, the finance minister has given his backing to plans to re-establish a credit union in Newbridge.
Michael Noonan has told an Oireachtas committee that the takeover of the existing credit union by Permanent TSB was "our final option".
He says he would have preferred if the problems could have been solved by the credit union movement itself, instead of needing outside assistance.
New Newbridge Credit Union
But the Minister says he is hopeful a new credit union can rise from the ashes of Newbridge:
The Newbridge Credit Union Action Group is holding a public meeting in the town tonight to investigate how a new credit union might be set up.
Chair of the organisation Willie Crowley has been speaking to Kfm.
He says the institution they envisage won't be on the scale of the former Newbridge Credit Union:
