AIB has announced the appointment of Mr Lauri McDonnell, a former Comptroller and Auditor General, to head an independent investigation into the bank's overcharging for some foreign exchange transactions.
It emerged last week that the bank had overcharged certain customers by half of one per cent for foreign exchange transactions over an eight-year period. The sums involved and the interest the bank will have to repay is expected to amount to at least €25 million. AIB has deposited that sum with the Central Bank to cover the cost of its error and the Irish Financial Services Regulatory Authority is investigating the matter.
Mr McDonnell's appointment as independent assurer of the investigation has been approved by IFSRA, the bank said this evening. He will take up the post with immediate effect. Mr McDonnell will have access to external audit expertise in carrying out his investigation, which is to be completed by the middle of June.