The Director of Consumers Affairs, Mr William Fagan, has launched an investigation into the role of four financial institutions which dealt with the Limerick brokerage, Irish Mortgage and Finance Bureau. "I want to ensure these institutions are taking due care about the quality of the business they are writing and are taking care to protect their customers," he said.

Mr Fagan said he was writing to the four institutions to ask "very serious questions" about what happened in the Limerick case. He would be asking for details about the business they conducted with the Limerick broker.

Gardai are investigating financial irregularities at the mortgage brokerage, which has closed its offices in Limerick city. The investigation started after complaints from clients.

As a mortgage broker, the firm should have been registered with the Director of Consumer Affairs but had not applied for registration.

ICS Building Society and Irish Life Homeloans have acknowledged they are among the four financial institutions for which the brokerage acted as an intermediary. The institutions had provided the name of the brokerage, along with the names of all the other intermediaries which act for them, to Mr Fagan.

Last night Mr Fagan told The Irish Times that he was writing to the four institutions seeking information about the business they did with the brokerage.

"I am writing to them. I am hoping for full co-operation. I have full powers to ask for documents and to see details of business conducted. "I am doing my best to protect customers in very difficult circumstances. The financial institutions lobbied tooth and nail to ensure that the legislation was as weak as possible," he argued.