Tuesday, 15 February 2011

Fight Continues To Reclaim Cash Lost By Local Lib Dems

This week the fight continues in Iceland where a high court is in session determining the status of West Lindsey District Council’s claim to money that was invested in the failed Landisbanki - under the council's Treasury Management Strategy wrongly locked in place by the controlling Liberal Democrats at the time.

Leader of West Lindsey District
Council Cllr. Burt Keimach.
Currently the Local Government Association are fighting to keep the Priority Claim status for councils across the country, which is why this case in Iceland is so important to the residents and the taxpayers of the district. Failure to secure such status could lead to less of the public's money being returned. A separate amount, similarly lost, is still held in Glitnir, with a court case expected in mid-March.

Conservatives have been fighting hard to get back the money for local people and Conservative Leader of West Lindsey District Council, Cllr. Burt Keimach, Conservative (Market Rasen Ward), expects the majority of the Icelandic money to be returned, which will ease the pressures on the 2011/12 budget for the council. Speaking exclusively to this blog, he said:
"We have clawed back £1,010,000 already and expect another tranche later this year in June. I think we can realistically expect that we will recover 90% of the money."
On a previous occasion he noted:

"We are not envisaging cuts in services or anyone being made redundant. We don't have a problem. We have good revenue, a good revenue budget, plus some money coming in from Heritable Bank in Iceland. We are optimistic and we are in a very good position.
"We have been prudent and we have been careful how we spent our money while improving services.

"We have been lucky in getting growth point status for Gainsborough. We are not spending revenue cash and we have a healthy capital budget."
The Conservatives, having taken control of the authority from the Liberal Democrats in the Local Elections of May 2008, have been delivering on a package of £1.4m of efficiency savings at the authority; whilst still delivering for local communities. Last year this included £165,000 for flood prevention, £50,000 to help with problem young people, £57,000 for the Citizen Advice Bureau and the restoration of the Councillor Initiative Fund.