FSA attacked over Iceland

MPs HAVE accused the Financial Services Authority (FSA) of deliberately misleading a Select Committee over the failure of Icelandic banks. <br /><br />The Communities and Local Government Committee, which is investigating why local authorities put over &pound;1bn into Icelandic banks before they collapsed, criticised the regulator in a hard-hitting letter for being &ldquo;unhelpful to the point of obfuscation.&rdquo;<br /><br />It also said the FSA was not fulfiling its duty as a regulator.<br /><br />&ldquo;We strongly suspect that the clear answer to our question of what steps the FSA has actually taken to regulate treasury advisers is &lsquo;none&rsquo;,&rdquo; the group said.<br /><br />The FSA responded: &ldquo;We absolutely refute the charge of obfuscation.&rdquo;<br /><br />The City watchdog added: &ldquo;We endeavoured to be helpful to the Committee by providing the information they requested.&rdquo;