Quinn staff vow to put pressure on regulator

Matthew Elderfield is the Financial Regulator for Ireland

Quinn Insurance staff said they will continue to pressure the regulator over the ban on the company doing business.

On Wednesday Quinn employees said they hoped for reversal of administration and the lifting of the ban on writing new business in the UK.

The regulator petitioned the High Court in Dublin last week to have Quinn Insurance put into administration for breaching solvency rules.

In effect the company had failed to follow rules for financing claim cover.

The Financial Regulator, Matthew Elderfield, said that money from the insurance arm of the company was being used as security for bank loans made to other parts of the Quinn Group.

The fear was if the banks called in their loans then policy-holders could be left in the lurch, though Quinn insisted there was no chance of that happening.

The majority of the work at the Enniskillen base is the underwriting of UK insurance policies, putting 700 jobs in County Fermanagh at risk.

Pressure

The administrator is currently reassessing the business plan of Quinn Insurance which will be sent to the regulator in the next 24 hours.

If the ban is lifted, then the UK Regulator will also have to become involved.

In a statement staff in the insurance group said their campaign is focused on keeping pressure on the regulators to lift the ban.

"As such we plan on a mass congregation at the regulators office on Friday.

"We are inviting all employees to join us in this meeting and in particular the 1500 employees in all Quinn Insurance offices who are directly impacted by the decision on NI/UK business."

On Tuesday a group of cross-party, cross-border politicians met the head of the Irish central bank, Patrick Honohan and Mr Elderfield.

At the meeting politicians stressed the importance of the employment created by Quinn and the need to lift the ban on the company doing business in the UK, but regulator chief, Mr Elderfield said regulations were there for a reason.

The next step for the company will now depend on the financial report on Quinn Insurance being prepared by the two High Court-appointed administrators.

It is expected the report will be given to the Financial Regulator by the end of this week in advance of the High Court case in Dublin on 12 April.

Meanwhile, a rally organised by the Cavan Chamber of Commerce is due to take place in the town centre at 1730 BST in support of the workers at Quinn Insurance.

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