BCCI AND THE BANK OF ENGLAND

Early day motion 395, tabled 12 January 2004 by Keith Vaz (Labour). Signed by 5 members.

That this House expresses its dismay that after 13 years the saga of BCCI has still not been resolved; notes that when the bank was closed by the then Government on the advice of the Bank of England, honourable Members were told that the bank had no money left to pay its creditors and staff; welcomes the fact that since then 70 per cent. of the money has been returned; is astonished that the rest of the money is now going to be spent on the fees for lawyers and accountants in a case where if one side loses the taxpayers will pay and if the other side loses the creditors will pay; further notes that one of the lawyers will be paid ú3 million for his services in this case and that the total bill after appeals will run into millions; and calls on the Secretary of State for Trade and Industry to instruct the Insolvency Service to act as an honest broker between the parties so that a deal can be done to avoid further litigation and so that the rest of the money can be paid to the former depositors.

Signatures by party: Labour 3, Liberal Democrat 1, UUP 1.