A DEPOSITOR’S instruction to remove her money from Landsbanki Guernsey the day before the company went into administration was not carried out, the Interlocutory Court heard yesterday.

Lindsay Prentice, who was not present, was given leave to pursue an action against Landsbanki Guernsey and its co-defendant, the Lloyds TSB Banking Group.

For Mrs Prentice, Advocate Peter Ferbrache said either or both defendants had breached their contract and/or acted negligently with his client’s money.

‘We say that we are much more than general creditors of Landsbanki Guernsey, but they say we are not,’ he said.

At 9.30am on 6 October – the day before Landsbanki Guernsey went into administration – a letter was delivered to the bank requesting that £70,000 belonging to Mrs Prentice, plus interest accrued, be transferred that day to an account that she and her husband had at another bank.

A £25 fee was paid to ensure the money was transferred through the Chaps clearing system.

Landsbanki Guernsey used the Lloyds Group to transfer money in such a way.

When Mrs Prentice telephoned Landsbanki later that day she was told the transfer to an account with NatWest had been carried out.

The following day – the day that Landsbanki Guernsey went into administration – Mrs Prentice called the bank and was told the payment had been made by Chaps the day before.

But at 4.45pm, NatWest told Mrs Prentice that her money had never arrived. The plaintiff is contending that the moment the Chaps payment was made by or on behalf of Landsbanki Guernsey, the £70,000 no longer formed part of the bank’s estate.