LONDON—After reporting that “bureaucratic bungling” had led to one CU’s inability to get back £60,000 being held by Barclay’s Bank, the Islington Tribune is being credited for helping to get the funds return.
The Tribune had earlier reported that London Capital Credit Union had been working to get the funds back for more than 18 months from the High Street bank. But Barclays had allegedly responded by repeatedly writing to a former councillor in Haringey, U.K. who is dead, ignoring correspondence, and placing obstacles in the way of the credit union, according to the publication.
The paper quoted Martin Groombridge, CEO of London Capital CEO, as calling on the CEO at Barclays to “get his act together.”
“It seems that one Barclays department doesn’t know what the other is doing,” Groombridge was quoted as saying. “We’ve been fighting for our money for 18 months. If we were a small business we would have gone under by now.”
The funds have been in limbo following a merger by London Capital with Hornsey Co-operative Credit Union, after the death of its president, Blair Greaves. Its remaining assets of £60,000 were placed with Barclays, and while is 250 members moved to London Capital. The bank, however, has not surrendered the funds, the Islington Tribune reported.
The bank has sent letters to the deceased CEO, and required two directors of the former credit uniont o appear three times at one of its branches to prove their identities. LCCU said complaints to regulators have made little progress. Filing litigation is one potential recourse, but the credit union said it is hesitant to do so due to costs.
After the report, however, the funds were returned to London Capital CU.