uti.is 12 Dec 13: Why are bankers investigated in Iceland and not so much elsewhere?

Category: Newspaper & Media Reports

Sigrun Davidsdottir's Icelog:

Today, I was interviewed both on BBC radio 5 live and BBC radio 2 regarding bankers being sentenced to prison in Iceland. On both stations I was asked why bankers are being prosecuted in Iceland. I would rather turn that question around? Why are bankers not being investigated – and eventually charged, if there is a case against them – in other countries, for example in Britain?


Already in the SIC report there were stories that raised questions about possible criminal activities. The al Thani loan saga was one of them. Further, the OSP has now charged the top managers in all the three banks. The al Thani case was the first big case to reach sentencing. The three Kaupthing managers now sentenced are also charged in another large market manipulation case, as are managers from Landsbanki and Glitnir (on both cases see here).


But what about the UK? The Serious Fraud Office investigated Kaupthing but dropped the investigation after serious mistakes were done. Libor rigging was at first only investigated as if it was a natural disaster so no person was culpable. A bank rigged Libor, a bank got fined – and yet a bank is made up of people who think, plan and act.


read Sigrun's blog here


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