Jump to content
House Price Crash Forum

19 March: "councils To Lose 90 % Of Iceland Cash"


Recommended Posts

0
HOLA441
1
HOLA442

Depends on the bank and the council - the report today is talking solely about money invested in Heritable Bank (the UK subsidiary of the Icelandic bank Landsbankii). This bank is subject to UK administration under Ernst and Young - most of the assets and liabilities (i.e. to councils etc) are held in the UK.

This money is therefore more likely to come back to councils - as it is in the UK. Same applies to Kaupthing Singer Friedlander.

Its the money invested with Icelandic parent banks (e.g. Landsbankii, Glitnir and Kaupthing) that will almost certainly be lost (100%?).

So the reports are not inconsistent!

Link to comment
Share on other sites

2
HOLA443
Depends on the bank and the council - the report today is talking solely about money invested in Heritable Bank (the UK subsidiary of the Icelandic bank Landsbankii). This bank is subject to UK administration under Ernst and Young - most of the assets and liabilities (i.e. to councils etc) are held in the UK.

This money is therefore more likely to come back to councils - as it is in the UK. Same applies to Kaupthing Singer Friedlander.

Its the money invested with Icelandic parent banks (e.g. Landsbankii, Glitnir and Kaupthing) that will almost certainly be lost (100%?).

So the reports are not inconsistent!

Surely these banks will ultimately be broken up and the assets distributed to creditors? They can't stay in the Icelandic equivalent of Chapter 11 forever.

There has to be some value that can be returned.

Link to comment
Share on other sites

3
HOLA444
Surely these banks will ultimately be broken up and the assets distributed to creditors? They can't stay in the Icelandic equivalent of Chapter 11 forever.

There has to be some value that can be returned.

Possibly - but they have a lot of creditors all over the world (including IMF) to pay back too!

Link to comment
Share on other sites

4
HOLA445
Surely these banks will ultimately be broken up and the assets distributed to creditors? They can't stay in the Icelandic equivalent of Chapter 11 forever.

There has to be some value that can be returned.

Im not sure that's true.

the trouble was that they found themselves totally insolvent, with their assets turning out to be worthless.

even if there does end up being some value to their assets, there are many people in line to get a crack at them before the average bank user.

Link to comment
Share on other sites

5
HOLA446

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
  • Recently Browsing   0 members

    • No registered users viewing this page.




×
×
  • Create New...

Important Information