STUNELL SEEKS TO CLIP THE WINGS OF VULTURES

1.00.00pm BST (GMT +0100) Wed 6th May 2009

Local MP Andrew Stunell has today sponsored a Private Members' Bill in Parliament to restrict so-called "vulture funds" that profit out of Third World Debt.

The Developing Country Debt (Restriction of Recovery) Bill, sponsored by Andrew, was introduced today by Sally Keeble MP, with cross-party support. It is aimed at curbing the unscrupulous profit-making by so-called "vulture funds" which buy up debts of developing countries and then take legal action against their governments and investing companies, netting huge profits - often wiping out a country's debt relief and eating into aid budgets.

The Bill is backed by the Jubilee Debt campaign, which has highlighted the questionable activities of vulture funds, and comes after the Government committed themselves to regulating the offending hedge funds more closely.

Commenting, Andrew Stunell, who is also a member of the influential International Development Select Committee, said:

"I'm delighted to be sponsoring this Bill. Vulture funds have been ruthlessly stacking up unregulated profit from Third World debt for far too long. This Bill if passed will clip their wings.

"At a time of global economic hardship, it is important that we do what we can to continue to help developing countries.

"It is also vital that we make sure the money that we provide in aid to these countries is getting through to the people who need it most - not snatched by fat cat hedge fund managers to boost their profits."

Nick Deardon of Jubilee Debt Campaign said:

"The financial crisis is having a massive impact on people in poor countries. The idea that the people who have caused the crisis should be allowed to scavenge money that is meant to tackle poverty in the developing world is outrageous."

ENDS

Related Link:

The full text of the Bill can be viewed here.