Farepak justice will be the best payback
Last updated at 20:05, Thursday, 12 July 2012
Before Farepak collapsed six years ago, it promised its customers the “best Christmas ever”.
What happened, of course, was their customers’ worst nightmare ever.
News came through this week that a final dividend of 32p for every £1 deposited will be paid to creditors of the doomed Christmas savings scheme.
On top of an earlier pay-out, it means savers will have got back half of what they put in.
It has been a long time coming, and is welcomed by hundreds of low paid West Cumbrian families who were ruined by the collapse.
But the most meaningful payback has yet to happen; and that means bringing those who ran Farepak to justice.
This has been a shocking tale in which customers had no financial protection.
Farepak bosses accepted customers’ money even when they knew the company was failing.
Meanwhile, Farepak’s bank HBOS went cap-in-hand to the Government for a bail-out.
So savers on the breadline were being shabbily treated while those at the top continued to fill their pockets.
Disgraced bank bosses walk away with their millions, while single mums who just wanted a Christmas hamper for the kids are grateful for this late dividend.
Nothing will quite repay the damage done before that Christmas of 2006.
But prosecution of those who caused such misery would go some way towards it.
First published at 19:25, Thursday, 12 July 2012
Published by http://www.timesandstar.co.uk
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