Dear Chancellor,I am deeply concerned that vulture funds are able to use UK law to pursue the Greek government for full repayment of the €6 billion debts they hold. I believe this kind of profiteering from the misery of a country is wrong, and urge you to take actions to prevent it.
I welcome the fact that the UK Government last year made permanent a law which prevents vulture fund profiteering against highly impoverished countries - the Debt Relief (Developing Countries) Act. However, as groups like Jubilee Debt Campaign argued at the time, it is necessary to more fundamentally regulate finance to prevent vulture fund actions against a much wider group of countries.
I believe it is possible to introduce legislation which would make it impossible for vulture funds to make large profits on the back of Greece’s debt crisis. For example, the British Government could ensure all UK-law creditors to accept the writedown already agreed (as in Greece itself). Or a law could be introduced to ensure that it is not possible to make exorbitant gains on sovereign debts purchased on the secondary market – such a law has already been floated in the US Congress.
c/o Jubilee Debt Campaign
The Grayston Centre
28 Charles Square
+44 (0)20 7324 4722