A report by a Special Investigation Commission of Iceland's parliament showed that “negligent acts” unsurprisingly led to the country's financial crash in 2008.

The governmental investigation, published yesterday is sarcastic in its criticisms particularly of former Prime Minister Geir Haarde, the chairman of the central bank, David Oddsson, finance and commerce ministers, among seven senior figures responsible for the 2008 crisis including central bank governors and the chief financial regulator.

Prime Minister Johanna Sigurdardottir answered to this inquiry saying: "The private banks failed, the supervisory system failed, the politics failed, the administration failed, the media failed, and the ideology of an unregulated free market utterly failed."

The investigators determined that "the financing of owners' equity was in large portion based on borrowing from the system itself". Glitnir, Landsbanki and Kaupthing, the three banks that went under, had financed Ikr300 billion ($2.4 billion) of their own shares in mid 2008.

On one hand, the growth in the banking sector - 20 times its original size in seven years - surpassed the country's capability to face accountabilities and regulators' compliance to supervise the sector and, on the other hand, the central bank did not keep enough foreign currency reserves and the deposit assurance fund was too little to cover any failure.

Another parliamentary committee is going to consider whether legal action is to be taken against those it alleges to have been responsible.