On the 7th of October 2008, using legislation that did not come into forced until four hours later, Mr Alistair Darling took the decision to shut down the operations of Kaupthing HF in the UK. No work was done to see what the effect would be, no work was done to see who would be affected, and the advice given to Kaupthing Singer and Freidlander IoM - when they put half a billion pounds in the UK bank, was ignored.
Mr Darling said that his decision was based on a telephone call from the Icelandic Minister of Finance, Mr Ami Mathieson, where Darling said that he had been told that the Icelandic parent bank would not honour its obligations to British Savers in the UK Kaupthing bank. The transcipt of the telephone conversation (where Darling appears to think he met Mr Mathieson a few weeks previously even though they had never met!) shows that nowhere was Darling told that the UK Kaupthing savers would be not compensated.
So, Darling put the UK Kaupthing bank into liquidation while transfering the accounts of the UK based savers to the Dutch bank 'ING'. Despite the UK Government forcing people offshore and despite the UK Government conning the Isle of Man Kaupthing Singer and Freidlander bank to put half a billion pounds in the bank it had now liquidation the British Citizens who had worked hard and saved their money were completely ignored. Darling went on record telling all the world that he had saved British Citizens whereas in fact he had destroyed the lives of thousands of them.