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Sample 1.

Author: Diver


Thanks so much for your quick reply.

What we really need at the moment is public visibility of what has happened in the Isle of Man (i.e. an awareness in the public domain that not all UK savers have been 'saved') and some sort of communication from the UK government that they are working on our behalf to recover 100% of our lost deposits. The IoM government appears to be taking the position that the £50,000 compensation scheme is adequate protection for depositors despite the fact that hundreds (possibly thousands) have lost more than this. In addition, unlike in the UK, the IoM does not already hold funds for the compensation scheme (it needs to go to the other banks for the cash) and so payments will have to be drip fed over a number of years...not much good to people who've lost absolutely everything.

We have a situation where a large number of the depositors have ended up in Kaupthing Isle of Man (KSF IoM) as a result of the takeover of the Derbyshire Building society in 2007. At the time of the takeover it was reiterated that all deposits were fully guaranteed by the parent bank in Iceland and that customers had nothing to worry about - clearly not the case now. In addition, we are led to believe that KSF IoM was a solvent liquid entity up to the point that the UK authorities began freezing Icelandic assets and placed Kaupthing UK into administration. The assets of KSF IoM appear to have been split thus:

15% held with other IoM institutions
25% held as loans in every day trading
60% held as an intercompany balance with KSF UK

As depositors and UK taxpayers we would like to know what plans the government has to use Icelandic assets in the UK to ensure that the parental guarantee from Iceland is enforced. The UK government has itself guaranteed all KSF UK deposits yet as you can see it appears that it was our branch that was supporting the UK operation in the first place with the 60% intercompany balance. What is the government doing to return that balance to us?

The IoM is a Crown Protectorate and as such, we UK citizens and taxpayers who had deposits there need protecting by the UK. The IoM government is too small and too weak to be any use to us in negotiations with foreign governments or even the IMF, we need the backing of Downing Street and Parliament with questions being raised on our behalf to the Icelandic authorities. If it comes right down to it and Iceland fails to honour its guarantee we expect the UK government to use Icelandic assets to re-instate our deposits in place of the guarantee.

So Jim, what we would really like you to do is to make sure this matter is raised at all levels, up to the top of government, and in as many public forums as possible. The silence we are getting at the moment from those we thought would defend and protect us is simply stunning. Please see if you can get anyone from the UK government to talk to us, let us know what they're doing and to give us hope that we are not alone.

Thank you so much once again for getting back to me, it's nice to know that someone is listening.

Kind regards


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