Equatorial Bank (Hansard, 30 March 1993)

§ Mr. Vaz
To ask the Chancellor of the Exchequer if he will make a statement on the reasons for closing the Equatorial bank.

§ Mr. Nelson
[holding answer 24 March 1993]: No. I understand that the decision to petition for administration was taken by the Equatorial's directors.

§ Mr. Vaz
To ask the Chancellor of the Exchequer what plans he has to hold an inquiry into the events surrounding the closure of the Equatorial bank.

§ Mr. Nelson
[holding answer 24 March 1993]: I have no such plans.

§ Mr. Vaz
To ask the Chancellor of the Exchequer when and by whom he was first informed of the problems that subsequently led to the closure of the Equatorial bank; and when he was first informed that the Equatorial bank was to be closed.

§ Mr. Nelson
[holding answer 24 March 1993]: As the Bingham report makes clear, information on supervisory matters is passed to the Treasury by the Bank of England at a number of levels. However, it would not be appropriate for me to comment on individual institutions.

§ Mr. Vaz
To ask the Chancellor of the Exchequer if he will list the meetings, during the last year, he has had at which the Equatorial bank was discussed.

§ Mr. Nelson
[holding answer 24 March 1993]: I hold meetings from time to time with the governor or with my officials at which banking supervision issues are discussed. It would not be appropriate for me to disclose whether or not a particular institution was mentioned at any such meeting. Equatorial was, however, raised briefly by the hon. Gentleman at a meeting we had on 23 March.