Travel Ban Placed on Former Chair of Iceland’s Byr Skip to content

Travel Ban Placed on Former Chair of Iceland’s Byr

A travel ban has been placed on Jón Thorsteinn Jónsson, the former chairman of the board of Byr savings bank, because of an investigation by the special prosecutor on the affairs of Byr and the holding company Exeter.

Jónsson recently moved his legal residence to London. He is the only individual on whom a travel ban has been placed because of an investigation undertaken by the special prosecutor, Fréttabladid reports.

According to the newspaper’s sources, the special prosecutor believes there is a sound reason for securing Jónsson’s stay in Iceland after of a raid of the premises of Byr and MP Bank in late November, especially considering the move of his legal residence.

Jónsson was arrested on the day of the raid and questioned longer than other suspects. He was released after 24 hours. The travel ban expires at the beginning of next week and it has not been decided whether an extension will be requested.

The investigation focuses on Exeter’s acquisition in Byr’s capital stock worth approximately 1 billion (USD 7.8 million, EUR 5.4 million) in October and December of last year. The capital stock was bought from Jónsson and MP Bank, among others.

Byr provided the mother company of Exeter a loan to purchase the capital stock. There is a suspicion of fraud and embezzlement, which could result in up to six years in prison.

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