Iceland's Kaupthing bank not 'fit and proper', FSA told

Link to the article at Channel 4

Last Modified: 03 Feb 2009
By: Siobhan Kennedy

The FSA is accused of failing to act, or listen to the alarm bells, before Kaupthing went bust, taking the savings of millions of British investors with it.

The financial watchdog was warned that the Icelandic bank Kaupthing was not "fit and proper" to run the British bank it took over, MPs heard today.

As Channel 4 News revealed yesterday, the head of Singer & Friedlander, Tony Shearer, told the treasury select committee he had become concerned when he saw Kaupthing's accounts and met the people in charge.