Nov 10 - Only A “Deafening Silence From The GSD” Over Unsecured OEM Loans - Government
The Government says it has a clear policy to invest in Gibraltar’s future. It says that the Savings Bank takes deposits from the public and reinvests them and, by doing so, is able to offer high interest rates to depositors whilst making a profit for the reserve. The Government says it does not gamble with public money: the loans granted by Credit Finance “are paid back on time and with interest” and this is all done “securely and with the purpose of making good, sound investments in Gibraltar’s future.”
On the other hand, Number Six says that the GSD’s “secret, unsecured loans” to OEM cost the taxpayer £4m. In addition, according to the Government, there was a cost of £7m of defects plus an additional claim by Barclays, making a total of £18m of tax-payers’ money “lost down the drain by the GSD.”
A statement concluded: “Last week, the GSD were publicly challenged to explain this £4m unpaid loan given via GRP which does not have a money lending licence. And their response to these perfectly reasonable challenges?
Just a deafening silence...”
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