Taoiseach Enda Kenny has rejected Opposition calls for a Commission of Inquiry into the sale of Nama’s northern loan book, following the arrests of two men in a fraud investigation linked to the sale, writes Daniel McConnell of the Irish Examiner.

Speaking during Leaders Questions today, Mr Kenny said there are absolutely no allegations that Nama, the State’s Bad Bank, did anything wrong in the near €1.5bn portfolio sale in 2014.

However, the Project Eagle sale has been dogged by controversy and is currently the subject of investigations in several jurisdictions, although no investigation is underway here in the Republic.

Mr Kenny was speaking as searches were carried out in Co Down in connection with the inquiry into the controversial £1.2bn (€1.5bn) sale of assets and property owned by Nama to US investment firm Cerberus.

An NCA spokesman said: “Officers from the National Crime Agency have today carried out two arrests and related searches in the Co Down area in connection with a fraud investigation. The operation is being assisted by the PSNI. As the investigation is continuing we are unable to comment further”.

The investigation was sparked following the discovery of a £7 million offshore transfer to an Isle of Man bank account, which was controlled by a former managing partner of Belfast-based law firm Tughans.

Tughans, which was involved in the Nama transaction after being subcontracted by Cerberus’s US lawyers Brown Rudnick, insisted it was not aware of the money movement.

A parliamentary committee at Stormont is carrying out a separate investigation into the Cerberus deal.

All parties involved in the huge £1.2 billion transaction in 2014 have denied wrongdoing.

Mr Kenny was pressed on the matter in the Dáil by Sinn Féin’s President Gerry Adams, who called for an investigation to be commissioned.

He also called on Finance Minister Micheal Noonan, who is the minister in charge of Nama, to make a statement on the matter.