Banks.. Councils.. Taxpayer.. who is the looser?

Western developed countries were advocates of ‘free market’ and had forced some of asian economies to open their market for global firms. Now in their own backyard one of the ‘globalized’ firm has gone burst and they are now planning to ‘sue’ the country who now owned the global firm. The country in question is United Kingdom and it’s Prime Minister is furious that Icelandic bank operated in UK, which accepted deposits from UK nationals, invested in UK economy by providing loans to/buying stacks in major retailers, and when it goes burst couldn’t honour their debt.

First of all why UK government councils didn’t keep their money in UK banks rather than ‘investing’ taxpayer’s money to foreign banks? What was the reason is it because of ‘greed’ or they didn’t have faith in UK banks? Councils kept millions of £ as investment in banks and kept raising council tax year after year. Now if councils couldn’t recover that money from Icelandic banks they will be forced to increase council tax again. Wait a minute, isn’t the money they lost was from taxpayers already? So now taxpayers will have to pay for the money lost by some idiotic decision from council to stuff the cash in foreign banks!!! It’s like you gave money to some beggar and now he is demanding more from you as he lost it.

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