Thursday, August 20, 2009

This is not a campaign of revenge

DONT BANK ON THE ISLE OF MAN is not a campaign of revenge dreamt up by angry depositors. It backs the evidence that the IoM does not have the proper infrastructure to operate an offshore financial services industry, and expats & other around the world need to know the facts.

As the Chief of its Financial Supervision Commission says himself, deposits in the IoM bear the same sort of risks as investments and it is up to depositors to satisfy themselves that their money is safe in the IoM. Dispossessed depositors are helping potential depositors to make well informed decisions as they don't want others to endure the hell that they have had to put up with for 11 months.

No one need worry that the campaign will bring down the IoM economy. That is not the objective. If it starts to look even remotely that it is having such an impact it will be absolutely certain that the IoM government will do something before it starts to lose it precious AAA credit rating. The Treasury has stated that income from deposits represent only a small part of the IoM's budget. If that is not true then the best thing it can do right now is get the Kaupthing fiasco out of its hair by finding the means to restore depositors every penny of what they have lost.

The UK Treasury Select Committee recommended that the IoM government should meet with the UK government to resolve the issue. I have seen no evidence that such a meeting has taken place. Perhaps it is proud independence that stops little IoM going cap in hand to big brother UK to find a political solution. If that is the case then we know that 'pride comes before a fall'.

1 comment:

  1. The Isle of Man lost its independence when the Chief Minister agreed (willingly or not) not to rock the boat. The problem was caused by Alistair Darling and Gordon Brown but Tony Brown and the IOM are now collaborators.

    TonyC, a depositor.