Early day motion 1016

VULTURE FUND DEBT CLAIM AGAINST ZAMBIA

• Session: 2006-07
• Date tabled: 01.03.2007
• Primary sponsor: McKechin, Ann
• Sponsors:
  • Austin, John
  • Bercow, John
  • Connarty, Michael
  • Hancock, Mike
  • Stunell, Andrew

That this House notes with grave concern that Donegal International, a vulture fund registered in the British Virgin Islands has been suing the Zambian government for a staggering $55 million based on the purchase of an old bad debt that was valued at less than $4 million in 1999; notes that their award in the British courts this year was reduced to around $15 million, but that this will still place a serious strain on a nation where the majority of its people live on less than $1 a day; condemns the practices of Donegal International in pursuing this claim and calls on them to reconsider their intention to enforce payment of the court award; and further supports the campaign by Oxfam, together with the Jubilee Debt Campaign, in calling for the Government to press the International Monetary Fund members to consider new regulations that would prevent such private companies from bypassing international debt rules and pursuing debts from the world's poorest nations.