Quotas valued at between ISK 20 billion (€118 million/$161 million) and ISK 30 billion (€177 million/$241 million) are believed to be mortgaged to overseas banks, but, according to Icelandic law a foreign national may not own an Icelandic fishing quota.
If ownership of a quota should fall into foreign hands, the foreign owner is prohibited from fishing in Icelandic waters and is required to dispose of the quota within 12 months.
“Foreign companies can have a mortgage in Icelandic fishing companies. However, if the fishing company defaults and the foreign bank takes ownership, they are forced to sell,” HB Grandi's managing director, Eggert Gudmundsson, told IntraFish.
