Landsbanki Guernsey has been placed into liquidation by the Royal Court.
The bank has been in administration for more than two years since the collapse of its parent in Iceland during the global financial crisis. Savers have so far received 67.5p for every pound they had in their accounts.
The Joint Administrators, Richard Garrard and Lee Manning, were appointed to recoup as much money as possible from the bank's assets. Now they believe that process has reached an end, and so the court has appointed them liquidators to wind the bank up. The Joint Liquidators plan to make a further payment to depositors of up to 7.5p in the pound. There could then be a final payment to savers of an unknown amount once the process of winding up Landsbanki Guernsey is complete.
The Guernsey Financial Services Commission is requesting the surrender of Landsbanki Guernsey's banking licence because it no longer has sufficient assets to be licensed.
Savers have campaigned for Guernsey's States to make up any shortfall in the repayments to them but have so far been unsuccessful, despite arguing that Guernsey should have protected their assets. The island introduced a depositors compensation scheme following the Landsbanki Guernsey affair. 08-Dec-10.
Guernsey's States have confirmed banks threatened to pull money out of the island if the depositors' compensation scheme was not changed.
The scheme was set up after the collapse of Landsbanki Guernsey.
It offers one hundred million pounds of compensation and is paid for by a levy on all local banks.
Twenty million pounds of that money has to be provided up front but the banks wanted that removed. They said they would move deposits to another jurisdiction such as Jersey which does not have that requirement. [Ends] 18-Oct-10.
Depositors in the failed Guernsey bank, Landsbanki, are still waiting for the return of a third of their cash.
It's two years since the bank closed following the collapse of its parent in Iceland.
It's hoped they may eventually get up to 90% back.
Landsbanki Guernsey account holders are disillusioned by what they feel is lack of political effort on their behalf.
It's known that six of the depositors have died still waiting for the rest of their money in the two years since the collapse.
The Landsbanki Guernsey Depositors Action Group, which represents the claimants, has also criticised the claims system, describing it as "inexplicably archaic". 07-Oct-10.
Depositors with Landsbanki Guernsey are demanding a public inquiry into the bank's failure.
They've followed up a protest about what they see as the States' inaction by submitting their arguments for an inquiry to deputies.
The depositors believe an independent investigation commissioned by the Guernsey Financial Services Commission did not uncover all the facts about what happened.
They say a public inquiry would look at the actions of all those involved in much more detail. 19-Oct-09.
Depositors fighting to get their savings back from Landsbanki Guernsey are shocked to find out how little was done by the States to help them.
An action group set up in the wake of the bank's collapse have filed a Freedom of Information request with the UK Government.
The account holders, who could lose up to a third of their savings, have been told no meetings were held with Guernsey or Iceland during the six months after the failure of Landsbanki. 29-Jul-09.
Full, unedited, video clip, available HERE: Select Wednesday 29 July, 2009, then click 'Play'. Once the clip is running, click on the timer bar beneath the video window and go to 12:45 minutes into the clip.
Delegates from commonwealth countries have been in Guernsey to discuss what governments can do about the global economic downturn.
For the island it's a reminder of its own high profile victims of the credit crunch, the depositors in Landsbanki Guernsey. Account holders are lobbying delegates to raise awareness of their cause. 15-Jun-09
The cost to taxpayers of reimbursing out-of-pocket Landsbanki savers in Guernsey would be £5.8m.
That's according to the Landsbanki Guernsey Depositors Action Group - formed after the bank went into administration. The figure assumes that the administrator can recover 80% of the lost savings.
The group of 1,600 depositors has now written to the Commonwealth Parliamentary Association which is holding a conference in Guernsey this week to talk about the economic downturn. 14-Jun-09
Depositors with Landsbanki Guernsey are postponing their peaceful protest because of the potential Swine Flu pandemic. 05-May-09.
Landsbanki Guernsey Depositors have been told they could receive more of their money back soon.
So far customers have received 30 pence for every pound they deposited in the collapsed bank.
Joint administrators, Deloitte, have now said more cash may be given back in the summer if the authorities approve it.
It also wants detailed reports to be released to the bank's creditors.
The Landsbanki Depositors Action Group has welcomed the news, but believe depositors will still lose up to 25% of what they invested. 22-Apr-09.
Depositors with Landsbanki Guernsey are to stage a peaceful protest against the lack of compensation from the States.
The bank went into administration six months ago and so far savers have only received thirty pence in the pound.
They believe Guernsey's States should be doing more to fight their cause in the UK and Iceland.
And say they've been too quick to dismiss the idea of providing financial help. 16-Apr-09.