Where’s the NAMA Business Plan – Day 6?

No leaks today from the NAMA Business Plan, though the Irish Examiner do say “NAMA is expected to release its first business plan later this week, once it receives approval from Finance Minister Brian Lenihan.” Although it was reported last week that NAMA was forced to change its Business Plan, that term “forced” wasn’t explained and could conceivably have meant that NAMA had no option but to change the draft Business Plan as a result of its experience with the first tranches and its general operations since last October 2009. The Examiner says that Brian Lenihan’s approval is required prior to publication. Up to last week there had not been any suggestion that the DoF had veto powers over the Business Plan, the way both NAMA CEO and MfF had explained it, the Business Plan would be forwarded from NAMA to the DoF and published – no veto, no approval was ever suggested.

How independent is NAMA if government bankrolls your organisation (€49m in the NAMA SPV and €250m of an “advance” in May 2010), makes appointments to your Board and approves or rejects your Business Plan? And of course it would seem that the DoF is holding onto those draft NAMA Codes of Practice for an awfully long time too.

Lastly when Enda Kenny asked the Tainaiste in the Dail last Thursday “With regard to NAMA, is it intended that the Dáil will have an opportunity next week to discuss the quarterly report submitted to the Minister for Finance, Deputy Brian Lenihan, and the changes to the NAMA business plan that have been introduced? We now know that developers have been looking for €1.5 billion in working capital from NAMA, loan covenants have been waived by NAMA and developers have sought to transfer assets outside the jurisdiction. We need to discuss these and many other issues of critical importance so the people know exactly what is going on. Will we have an opportunity next week to hear what are the changes in the revised NAMA business plan and to have a discussion on the quarterly report that was submitted?”

Here was the reply

“I am not sure we will have time available next week to discuss the NAMA business plan on the basis that a number of pieces of legislation must go through the House.”