The Evening Post headline today reminds me that I haven’t posted about the council’s Icelandic investments since http://franklittle.mycouncillor.org.uk/2010/06/16/treasury-management/ . My comment in http://franklittle.mycouncillor.org.uk/2010/01/01/icelandic-banks/ that the only winners from the Iceland adventure will be accountants and lawyers seems to be coming true.

There is nothing much new in the Post article. It has been established that local authorities who invested in Icelandic banks have a legal right to their money as preferential creditors, but the ruling was always subject to legal challenge. As councillors were warned at budget time by our finance director, Derek Davies, that challenge has arisen.

The Local Government Association has been good at issuing regular bulletins to councillors about progress. If this month’s issue gives any substantial extra news, I will pass it on to you.

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