Sigrún Davíðsdóttir's Icelog

ESA pursues investigation into state aid to the Icelandic banks

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EFTA Surveillance Authority has now published its summaries of the decisions to initiate a formal investigation into the state aid granted ‘in 2008 and 2009 to rescue domestic operations of the three main Icelandic banks; Glitnir, Kaupthing and Landsbanki; and to establish and capitalise new successor banks, now called Islandsbanki, Arion Bank and NBI (Landsbankinn).’ The investigation was made public on December 15 2010.

The summaries of the three banks – Glitnir, Landsbanki and Kaupthing – offer an insight into the conclusions of the SIC report from April last year. The three summaries are an interesting read for those unfamiliar with the Icelandic report. The summaries provide a wealth of basic information and facts on the Icelandic banks and the Icelandic economy though there is a certain overlap in the summaries regarding general information.

Stakeholders and other interested parties are now invited to submit comments and observations to ESA by March 11 2011.

The original press release on the decision in December can be found here. ESA opened the investigation because Iceland has, according to ESA, not gone correctly about the state aid, i.a. not informed ESA though it has had ample time to do so.

An earlier log on the ESA decision is here.

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Written by Sigrún Davídsdóttir

February 10th, 2011 at 10:49 pm

Posted in Iceland

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