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Tynwald to vote on early payment scheme

Plans to compensate bank depositors who lost money in the collapse of Kaupthing Singer and Friedlander Isle of Man, take a step forward next week.

On Tuesday, Tynwald will be asked to approve an early payment of £1,000 per customer.

The Early Payment Scheme, costing £11 million from government reserves, has so far only been agreed in principle.

The motion also provides details of the scheme's eligibility rules.

Yesterday, Treasury filed papers to the High Court in Douglas, explaining what steps have been taken to prevent the bank going into liquidation.

It's being described as an 'interim update' which was ordered by the court last November.

That was when a petition to wind-up the bank was adjourned, so that an alternative to liquidation could be explored.

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