This is not good news but this probably won’t be the only casualty in the mutual sector over the next three months. Rumours are rife that another society is also suffering and doing everything that it possibly can to delay the publication of its financial results while it battles to keep its head above water.
It too has allegedly suffered through buying up loans that have since turned toxic, as well as being heavily exposed to the collapse of the Icelandic banks where it had invested heavily.
It’s a sorry state of affairs and after already witnessing the demise of several societies in the last 12 months, we don’t want to see any more go down the pan.
Other society chief executives would be wise to take note. Chasing profit should never be done at the expense of your members. As a mutual you operate for the benefit of them, not your own hefty pay packets.