An approximate statement of affairs prepared for a creditors' meeting disclosed loans and advances over £40 million.
In a statement to Tynwald Court the Chairman of the Finance Board said that after meeting the auditors and the directors of the Bank, it was obvious that SIB had made very large loans to a relatively small group of companies, beyond banking guidelines, and these were probably irrecoverable.
[2] The Isle of Man Government made additional ex gratia payments of 50p in the pound to certain depositors on the first £10,000 of their deposits.
Some depositors participated directly in the settlement of claims against SIB's auditors.
A further outcome of the SIB collapse was the introduction of a scheme to protect depositors with Isle of Man Banks, funded by a levy on participating operations - the Depositors' Compensation Scheme contained in the Banking Business (Compensation of Depositors) Regulations 1991.