Advisers warned of mis-selling action if Kaupthing scheme fails

If bondholders with money in KSFIOM do not recover a high percentage of their funds, there will be a movement in the direction of legal action with accusations of mis-selling, according to action group KSFIOMDAG. KSFIOM depositors will vote on the Isle of Man Treasury's Scheme of Arrangement (SOA) on 19 May. If approved, the Treasury believes the SOA has the potential to pay out over half of depositors in full within three months and over 70% of depositors in full within two years. The action group says bondholders feel life companies have put money in the wrong place and have a respons...