Key players in Iceland bank crash in court as witnesses

It is believed as many as seven people will bear witness today at the Reykjavik District Court in the case against Baldur Gudlaugsson, former permanent secretary at Iceland’s Ministry of Finance.

Jonina S. Larusdottir, former permanent secretary at the Ministry of Trade, is at the top of the witness list. Others who will testify today, according to court sources, are:
Jonas Fr. Jonsson, former head of the FME financial regulator
Bolli Thor Bollason, former chief manager at the Prime Ministry
Aslaug Arnadottir, former chief manager at the Ministry of Trade
Thordur Orlygsson, Landsbanki compliance officer
Gunnar Vidar, Landsbanki’s chief legal adviser
and Sigurjon TH. Arnason, former director of Landsbanki.

It is expected that Tryggvi Palson, the head of the finance division at the Central Bank of Iceland, will present a report to court on Friday.

It was also expected that Ingimundur Fridriksson, former director of the central bank, and Halldor J. Kristjansson, former director of Landsbanki, would testify today by telephone. The judge decided at the beginning of proceedings this morning that they need to testify in person. They will therefore be called upon at a later date.

Gudlaugsson is accused of insider trading, allegedly having sold all his personal Landsbanki shares shortly after sitting in on a meeting with UK Chancellor Alistair Darling and shortly before the bank’s collapse in the autumn of 2008.

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