Taoiseach Enda Kenny has strongly defended Michael Noonan's handling of the inquiry into the controversial sale of Siteserv in 2012. Mr Kenny told the Dáil that Mr Noonan, "among his peers at European level, was deemed to be the outstanding minister for finance and I have absolute confidence in him".

The Taoiseach was replying to Socialist Party TD Paul Murphy, who said the facts surrounding the IBRC's handling of the matter had to be "dragged out of the Minister", adding it was a cover-up. "Do you have confidence in him?" Mr Murphy asked. "Would you agree that he should now resign?" Mr Kenny said Mr Murphy's last retort was hardly worthy of an answer.

The Taoiseach rejected Opposition criticism by Fianna Fáil leader Micheál Martin and Sinn Féin leader Gerry Adams of the decision to have officials from KPMG examine all IBRC transactions, which resulted in a loss of more than €105 million to the taxpayer.

Mr Martin claimed there was a fundamental conflict of interest involved, given that the firm which had advised on the sale of Siteserv was now investigating it.

“Belatedly, the Minister acknowledges the conflict of interest and then appoints a retired judge to monitor potential conflicts of interest,” he added. While he was not casting aspersions on any individuals involved, the bottom line was that this was wrong. “It goes to the heart of independence and the need for an independent inquiry,” Mr Martin added. He called on the Government to establish a commission of investigation into the sale.

Mr Kenny said the Government wanted the facts of the sale to be made available as quickly as possible. A commission of investigation would require a lead-in of a couple of months and it would be a long time before the report was published. He said Mr Martin would be “the first out of the traps” to say the Government was involved in a cover-up and did not want the information to be made available.

Mr Kenny said he had already said the Government was prepared to legislate for a further independent analysis by the Office of the Comptroller and Auditor General.

Mr Adams said the Taoiseach appeared to insist on proceeding with a review into the IBRC scandal in which nobody had any faith. The review was simply a cover-up, he added.

“Citizens see the contrast between the Government’s attitude to the banks and the political and business insiders of the golden circle, and its treatment of ordinary citizens. Citizens are appalled by the massive writedowns that IBRC has given to private companies.” Mr Adams said there were no writedowns for mortgage holders.