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Northants businessman returns award in protest at Lloyds action on Interpal

Finance | Tania Mason | 16 Dec 2008

Lloyds TSB’s move to suspend the bank account of UK-based Palestinian charity Interpal has prompted the chairman of Kettering Town FC to return an award bestowed on him by the bank last year.

Imraan Ladak, chairman of the Blue Square Premier league club, was awarded the 2007 Lloyds TSB Asian Jewel for Business & Commerce in recognition of the growth of his medical recruitment agency DRC Locums, where he is chief executive.

Explaining his decision, Ladak said: “Lloyds TSB’s plans can only result in escalating the horrific suffering of innocent children, supported by those with racially motivated agendas. I no longer trust that Lloyds TSB follow the equal opportunities and anti-racist principles the Asian Jewel Awards are built on.”

Interpal shirts worn in FA Cup ties

Since July 2007, the club’s players have often worn shirts emblazoned with the logos of Interpal and WaterAid. Its first team is still a contender for the current season’s FA Cup and plans to continue sporting the Interpal shirts in the tournament.

When the club learned last month that the bank had reportedly instructed the Islamic Bank of Britain (IBB) to suspend Interpal’s accounts, or it would stop clearing IBB’s cheques, it wrote to Lloyds TSB to ascertain why.

Lloyds TSB wrote back: “Lloyds TSB does not hold or never has held accounts for Interpal. Furthermore, Lloyds TSB would not direct, nor would it be appropriate for us to direct another institution on how to deal with its own customers.”

But Kettering Town says it has since obtained a letter from Lloyds to the IBB dated 8 October, instructing the Islamic Bank “not to be involved with any type of banking arrangements for Interpal” from the 60th day after the letter. This is the first day of Eid, the Muslim festival.

Lloyds TSB chairman a member of Labour Friends of Israel

The club then wrote to Lloyds TSB chairman Sir Victor Blank, who is involved with Labour Friends of Israel and a governor of Tel Aviv University, to express its outrage, but has not received a reply. It has had no reply either from Sir David Manning, a previous ambassador to Israel, who joined the Lloyds TSB board in May 2008.

However, the club said it had had renewed statements of support from some MPs who have signed an early day motion calling for government action on the situation.

“We trust the prime minister will ensure race does not determine if banks process charitable donations,” the club said in a statement on its website.

Early day motion and petition launched

Eighteen MPs have signed an early day motion calling on the government to pressure Lloyds to reverse its decision, and more than 4,200 people have signed a petition urging Lloyds to reconsider.

Lloyds and IBB have both said they cannot comment on individual customer accounts.

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Who's Who: Tania Mason