Dublin credit union could cost over €5m to fix

Rush Credit Union has been at the centre of an investigation since the summer

Dublin credit union could cost over €5m to fix

File photo | Image: RollingNews.ie

A financial crisis at a Dublin Credit Union has been dscribed as "the worst in the country".

Gardai were called in to investigate the suspected disappearance of €700,000 at Rush Credit Union.

The Irish Independent reports that the figure is now double that, resulting in a cost of over €5 million to stabilise the financial accounts.

During the probe, it was found that the credit union safe was used to store hundreds of thousands of euro in cash, which was not recorded in the lenders' accounts. A large number of unverifiable accounts were also discovered in the probe, 

The Central Bank says it is engaging with Rush Credit Union and has insisted that there is no risk to its 10,000 members' savings.

"Any actions taken by the Central Bank are taken in the interests of credit union members and their savings.

"Members' savings are covered by the statutory Deposit Guarantee Scheme up to €100,000 per member."

Last month, the Central Bank obtained a High Court order extending the suspension of credit union manager, Anne Butterly, from holding a management position in a financial services firm.

Acting chairman Gerry Foley has resigned citing personal circumstances.

No-one has been charged in relation to the irregularities at the credit union.