KSF Megathread 2

[bellyup]

 

 

 

High rate of interest... high risk... TS

 

 

This is a simplistic.

 

The downfall of KSFIOM resulted from serious regulatory failure.

 

KSFIOM ( the Former Derbyshire Building Society IOM) was a sound bank and had positive Net Assets on the date it was put into administration

 

Moreover, KSFIOM liabilities were further protected by a parent bank guarantee from Kaupthing hf (KHF)

 

KSFIOM failed for 3 reasons

 

1. Unsecured KSFIOM funds had been transferred to KSFUK.

Why in view of the Icelandic situation did the IOM regulator allow this?

When KSFUK was placed in administration by UK Government action, KSFIOM lost access to necessary liquidity.

 

2. KHF failed to honour the parental guarantee.

THe parental guarantee which was “triggered” by KSFIOM lack of liquidity via KSFUK failure.

The guarentee that the FSC was fully aware that had been used to reassure depositors in the Derbyshire BS on the takeover.

 

3. KSFUK failed because KHF failed to provide liquidity to KSFUK as promised to FSA.

 

 

Based on the evidence given so far to the Tynwald Select Committee and to the UK Judicial Review, three conclusions may be drawn:

 

1. The FSC board requirement that exposure to the Kaupthing Group be eliminated ended up somehow being

downgraded by FSC executives, presumably without without FSC board authorisation, to an elimination of exposure to Iceland.

In practice, exposure was not eliminated at all because £175m was deposited unsecured in KSFUK and then

upstreamed to Iceland as part of a £1.1bn swap between KSFUK and Kaupthing Group

 

So why did the FSC not follow the requirements of its own board ?

 

2. Despite the major concern about exposure risk to the Kaupthing Group, the FSC permitted the KHF parent

bank guarantee to be used as part of an aggressive KSFIOM marketing campaign to underpin the acquisition

of Derbyshire IOM and to attract deposits to Kaupthing Edge savings accounts in IOM.

 

Why did Mr Aspen say he had never put much store by the Parental Guarantee ( or words to that effect) AFTER the event?

If that is what he thought why did he allow it to be used?

 

3. It looks like the FSC was put under pressure by KSFIOM, KHF and possibly KSFUK to water down

its requirements to protect the Isle of Man business model (FSC evidence 275 – 285, Directors evidence

1120) naturally Mr Aspden denies this (FSC evidence 520).

[ThankU]

http://www.metro.co.uk/news/822613-goldman-sachs-3-6bn-bonus-pot-provokes-outrage

[bellyup]

Yes bankers are a rotten lot there is no doubt about it.

 

So how can people trust them ?

 

With regard to KSFIOM

 

Depositors in Kaupthing Singer &Friedlander (Isle of Man) Limited, together with depositors in Landsbanki Guernsey,

are the only retail depositors in the world not to have received full protection of their savings.

[jimbms]

Yes bankers are a rotten lot there is no doubt about it.

 

So how can people trust them ?

 

With regard to KSFIOM

 

Depositors in Kaupthing Singer &Friedlander (Isle of Man) Limited, together with depositors in Landsbanki Guernsey,

are the only retail depositors in the world not to have received full protection of their savings.

My heart pumps purple piss for you, no move along please we have others who still have money left to fleece.

[bellyup]

Yes bankers are a rotten lot there is no doubt about it.

 

So how can people trust them ?

 

With regard to KSFIOM

 

Depositors in Kaupthing Singer &Friedlander (Isle of Man) Limited, together with depositors in Landsbanki Guernsey,

are the only retail depositors in the world not to have received full protection of their savings.

My heart pumps purple piss for you, no move along please we have others who still have money left to fleece.

 

Well no actually you dont and with that attitude will have less and less.

See Building Society deposits thread

 

customer deposits with the society dropped by €1.5bn in 2009, mainly because people withdrew their cash from the company's Manx subsidiary.

[When Skies Are Grey]

Well no actually you dont and with that attitude will have less and less.

 

Good. We need fewer interest hungry depositors screwing up the banking system....seeya.

[bellyup]

Well no actually you dont and with that attitude will have less and less.

 

Good. We need fewer interest hungry depositors screwing up the banking system....seeya.

 

 

Is this the message that you wish to send out to the world?

 

No wonder the building Society deposits are down.

 

Anyway you have your wish another person associated with KSF died last week.

 

An elderly person a good person who didnt need the last years of his life screwed up with this fiasco.

[jimbms]

Ah well thats a bit less cash to pay out

[When Skies Are Grey]

Wow...and guess what....another person who had an account with another bank died too......its all fascinating stuff.

[bellyup]

Ah well thats a bit less cash to pay out

 

I like your two turd avatar so apt.

[jimbms]

Ah well thats a bit less cash to pay out

 

I like your two turd avatar so apt.

 

Ah so now that explains all, your bad eyesight and inability to distinguish the difference between a handcuff and a turd accounts for you fuckup in where you invested

[bellyup]

Possibly as I could'nt tell the difference between a reputable building society that suddenly morphed into something run by a bunch of shysters.

 

 

More from the Tynwald

 

http://www.manxherald.com/index.php/business/635.htm

 

 

One interesting bit from this article - I had my money on instant access and like many other depositors asked fro it to be transferred and in fact was told this had been done - my instructions had been actioned. This was not true.

 

But one depositor got HIS money out Ok at the last gasp Mr Andrew Davies - the Financial Director of KSFIOM.

How strange that no other depositors did.

And how utterly disgraceful and immoral that the director gets preferential treatment when hundreds of desperate depositors couldnt .

 

Mr Davies no longer works for KSFIOM no he got away with his money and continues his business and his life unlike so many other completely innocent people.

 

 

 

 

Mr Houghton then turned his attentions to Mr Davies and said he needed to ask him about his withdrawal of funds from the bank.

Mr Davies said all his funds were on call and none was on fixed deposit. He added, perhaps a little less than convincingly, that he had no reason to think there was a problem with the bank at the time he withdrew the money.

[bellyup]

http://news.bbc.co.uk/2/hi/europe/8665880.stm

[gomanngo.com]

http://news.bbc.co.uk/2/hi/europe/8665880.stm

 

How about:

[bellyup]

Mr Tony Shearer is calling for a public inquiry into the conduct of the FSA regulator re Kaupthing Singer and Friedlander.

Perhaps mr Aspen will take note.

 

 

 

http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/7701701/Court-to-review-FSA-role-over-Icelandic-bank-collapse.html