Central Bankers and FME Director Not Investigated Skip to content

Central Bankers and FME Director Not Investigated

Acting state prosecutor Björn L. Bergsson neither sees a reason to launch an investigation into the work of former Central Bank governors Davíd Oddsson, Eiríkur Gudnason and Ingimundur Fridriksson nor into the work of former director of the Icelandic Financial Supervisory Authority (FME), Jónas Fr. Jónsson.

Central Bankers Eiríkur Gudnason (left) and Davíd Oddsson. Copyright: Icelandic Photo Agency.

A parliamentary committee, which was appointed to review the Special Investigative Commission’s report, sent the cases of these four individuals to the acting state prosecutor because the report found them guilty of having shown negligence, ruv.is reports.

The Central Bank governors were found to have been negligent by not having looked thoroughly into the situation of Landsbanki after its executives requested assistance from the Central bank with moving the Icesave accounts into a subsidiary.

Also, the governors were found to have not reviewed the situation of Glitnir Bank in sufficient detail when the bank’s executives requested a loan in September 2008.

Jónsson was thought to have shown negligence by not having established a firm enough organization of the FME’s operations.

Bergsson explained that in the law of the Althingi parliament’s Special Investigative Commission, negligence is defined specifically. However, it doesn’t have the effectuality of a penal code.

Even so, these four individuals may still have to face charges for other items which might surface during the investigation of the banking collapse in October 2008.

Click here to read more about the findings of the Special Investigative Commission.

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