If you live in Haringey, you might have glanced, in your paper this morning, at long lists of councils whose money has disappeared down a black hole in Iceland this week. You might have been relieved that you didn't see Haringey listed as being exposed.If you were relieved, your faith in Haringey was entirely mistaken.
It turns out that on a per capita basis, Haringey taxpayers appear to be the most exposed in Britain. Haringey's potential losses of £37 million could mean liabilities heading for £400 for each and every household.
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The reason you may not have heard is that throughout much of yesterday - and virtually alone among local authorities - Haringey refused to reveal to their own taxpayers, or anyone else, the gravity of the situation.
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Lib Dem Leader Robert Gorrie was refused clear answers when he asked if Haringey was involved. The Council admitted it was, but refused to reveal the numbers and were only told that the sums were 'manageable' - a far cry from the vast liabilities that have now been exposed.
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The media got wind of the situation in Haringey yesterday, and asked for a spokeserson from the Council to appear on London Tonight to explain the situation. While Kent County Council, with far less per capita exposure, took to the airwaves, Haringey Labour bosses refused. It was left to Robert Gorrie to go on the media and explain local concerns. The Council was eventually cornered into issuing a statement in the afternoon.
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Some typically shameful shenanigans, but still just one detail in the huge number of issues that this situation raises. Why did Haringey still have so much money in Icelandic deposits, when private individuals, and some councils, have been taking their money out of Icelandic banks for weeks? Have council guidelines on the maximum amounts on deposit at any one bank been ignored? Will we get any of our money back? How will this huge sum affect council services?
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If Labour claim this is just the way of things, or that they can lose £37 million pounds without a major impact on front line services, don't believe a word of it.
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