Sometimes in horror stories, one wonders whether the ‘monster’ is just a beast, or has some higher feelings. The British Conservative Party which dominated in the Thatcher years knew it had to evolve a social conscience, in order to ever stand a chance of re-election.

The Icelandic Independence Party, now a stunned beast, is licking its wounds, and plotting its revenge on the people that dared to challenge its supremacy. The problem so clearly evident from all its groans, is that is has never attempted to develop a social conscience.

As people in Iceland know, anyone expressing socialist views, is marginalised as a communist or a radical, and therein lays the heart of the problem. Resistance to moderate change means that the Party that presided over the worst man-made disaster in Iceland’s history may actually return to power.

The carnage, and many people’s confused reaction to it, highlights that even after the catastrophe inflicted upon so many, by so few, there is still denial and sympathy for the perpetrators. Are they really so bad?  Did they break any laws? What have they done?

The politicians, the banks, Björgólfur Thor, Jón Ásgeir, like modern day raiders, have laid waste to everything around them. The debris of companies, disrespected stakeholders and ruined investors and savers, are filling newspapers around the world daily with tales of woe.

It’s not just the financial injury, but the moral injustice and severe damage to the fabric of Icelandic society and its hitherto impeccable reputation. The honest and hard working citizens have been ransomed a small group of people that value nothing except themselves.

The unholy collaboration of the Independence Party and a small band of inexperienced bankers and businessmen has left Iceland with a huge mountain of debt that will take years to resolve and falls onto the already heavy shoulders of taxpayers and their children.

The politicians meanwhile have one of the most generous and comprehensive pension plans in the world, and the businessmen responsible have shifted assets around at a furious rate, ensuring that they have personal ‘nest eggs’ when parts of their empire or jobs collapse.

Jón Ásgeir of Baugur managed to sell Hagar back to his extended family, so Bónus and Hagkaup could continue to operate its virtual monopoly over the domestic food supply with impunity. And when Baugur eventually collapsed and Landsbanki intervened, he has reportedly managed to ‘convince’ them he was worth $350,000 a year to help run companies in which Baugur has passive stakes, but little or no operational involvement.

Björgólfur Thor – in conjunction with his father – presided over the Landsbanki fiasco, where billions of investor dollars just evaporated. He is currently Chairman of Straumur which picked up the choice assets from the XL Leisure Group collapse, and absorbed some of the foreign assets of Landsbanki. The conflicts of investor interest are simply astounding.

In most industrialised economies, if principals of a bank or company move assets to their advantage and the disadvantage of shareholders, and it is deemed preferential, then it becomes criminal, and they lay themselves open to claims against all their personal assets, ( even if they have recently, and by implication illegitimately, been transferred to family ).

So there are many ways to bring about social and financial justice, and begin to repair the damage. Starting with retrieving all of the ‘stolen’ funds and thereby greatly reducing the burden on future generations of Icelandic taxpayers.

That definitely will not happen if the ‘Beast’ returns.

paul News