NI Presbyterian mutual society, Short of funds for withdrawal?

goodbyepci

Nick Garbutt wrote a really good article in Saturday's News Letter.
Unfortunately I can't find the link to it online, maybe freddiemae can?

Nick Garbutt is managing director of asitis consulting, and has written a very sympathetic and accurate article.

His contact details
NickGarbutt@asitisconsulting.com

goodbyepci

crazymess wrote: »

I heard on the TV that the Government didn't want to see people queuing for their savings -

Our local Assembly wouldn't want to see this either - however we didn't do anything just talk - so have they all got away with this?????

There's always the General Assembly?
:think:

brick

crazymess wrote: »

They are dragging their heels on this...

Maybe they're just short of a few bob and need to keep something in the kitty for expenses.
http://news.bbc.co.uk/1/hi/uk_politics/7957555.stm

loganjh

21/3 http://thescotsman.scotsman.com/latestnews/Brown-39must-step-in-to.5092242.jp
22/3
http://www.scotsman.com/business/Tug-of-war-looms-over.5096328.jp

Looks like similar problems although I know they are covered by Financial Services Compensation Scheme. One plus is that they are a small local organisation with a fairly well defined geographic area which has parallels with PMS. I have dealt with Willie Rennie (local MP) previously and he is exceptionally good ([EMAIL="willie@dunfermlinelibdems.org.uk"]willie@dunfermlinelibdems.org.uk[/EMAIL])

freddiemae

Big difference with the Dunfermline BS is that it is at Gordon's back door in his constituency - he does not want bad press in that area.

Also the fact that it is regulated and it is Depositors money that is being protected. The fact that you are shareholders leave you in a very weak position I am afraid. Bank shareholders were not bailed out for losses of 95% of share value. That is why GB carefully always says that "depositors money will be protected". I am not meaning this as a criticism of your position only that I think the powers that be will be sticking to strict legal definitions when it suits them.

If the people with loan certificates vote to keep the status quo then there will be very little left over for the shareholders I am afraid.

It certainly is maddening to see a foolish Building society getting bailed out for exactly the same mistakes as the PMS directors.

Nomad25

Just been watching working lunch on the Dunfermline/other mutuals. You're dead on [unfortunately] in what you say Freddiemae.

crazymess

Well then if the creditors go their way - could the PCI get an interest free loan of some sort from Government or Assembly to pay the shareholders?

Its sounds as if this is the reason why Gov haven't bothered with us - they don't need to!

wilderness_man

From the Daily Telegraph

http://www.telegraph.co.uk/news/newstopics/politics/scotland/5033053/Bail-out-planned-for-yet-another-British-building-society.html

As fears grew of a run on the company, Jim Murphy, the Scottish Secretary, said ministers would do everything they could to protect the savers and shareholders of any troubled institution. . . .

The Scottish Secretary said: "The UK Government hasn't allowed any financial institution to fail over recent months, despite the remarkable turmoil in the world and UK markets.
"So it's important, without commenting on any individual institution, that we protect savers and mortgage holders, and we will continue to do that. We want to see stability and maintain confidence in the financial services sector."
He added: "We will act in any way possible to protect those people who have invested in any financial enterprise, any building society or any bank, because that is the right thing to do.
"Regardless of what happens in any building society or bank, the UK Government stands ready to support savers, those who have got their mortgages or anyone who is investing in these institutions, to make sure that savers in particular and mortgage holders are not affected."


Sounds like this guy is on your side. Either that, or he speaks with forked tongue.

36square

wilderness_man wrote: »

"Regardless of what happens in any building society or bank......

This bit is pretty significant as well.

freddiemae

http://news.bbc.co.uk/1/hi/northern_ireland/7959346.stm