Action group backs Foot probe into 'inadequate' comp schemes

The Landsbanki Guernsey Depositors Action Group (LGDAG) says some current schemes are not designed to cope with "catastrophic" failure. It says offshore centres should overhaul their legal structures to cope with a future event akin to the collapse of the Icelandic banks. In his interim review, Foot says financial centres must reassess their current legal structures to ensure they have the legal framework and institutional infrastructure in place to deal with "major shocks". LGDAG says existing schemes, such as Guernsey's Depositors Compensation Scheme (DCS), which has £100m available...