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Minister explains KSF voting rules to Tynwald

Voting rules have been finalised for a crucial meeting of depositors in the collapsed Kaupthing bank, next month.

KSF depositors have to decide which of two options would best ensure they get their savings back.

Treasury Minister Allan Bell hopes they will support his Scheme of Arrangment, under which more than 50 per cent of eligible depositors would be expected to see 100 per cent of their money refunded within three months.

But the depositors could reject that and push for a liquidation of the bank, which would trigger the Depositors' Compensation Scheme.

In Tynwald today, Mr Bell explained that three separate categories of depositors will vote on May 19.

He told members:

"There will be three separate meetings within the overall meeting, and it's my understanding that for each category there needs to be 50% of the votes cast, or 75% of the value cast, in each category in order for it to be successful.

"If one of those categories were to fail, for example if two categories voted in favour of it and one was against, then the scheme itself would fail and it would revert back to court, almost certainly for liquidation."

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