Pendle MP, Gordon Prentice, is joining Jubilee Debt Campaign to stop vulture funds profiteering from Third World debt.

A bill is currently going through Parliament aimed at stopping financial institutions from making multi-million pound profits out of the debts of some of the poorest countries in the world.

Sally Keeble's Developing Country Debt (Restriction of Recovery) Bill, a ten minute rule bill with cross-party support, gets its second reading in Parliament tomorrow, 6 May. In recent years at least 54 companies are known to have taken legal action against 12 of the world’s poorest countries. Most notably the vulture fund Donegal International, based in the British Virgin Islands, won $15.5 million through the courts in repayment for Zambian debt it bought for $3.3 million.

The Bill provides for:

· An end to hedge funds and other investors buying up Third World debt at cut-rate prices and then suing developing country governments through the UK courts for the full amount.

· Reporting arrangements to the UK and developing country governments.

· Transparency over who is involved in the funds.

· Anti-corruption measures.

The Pendle MP said: "These vulture funds target some of the poorest people in the world. Making money out of their misery. It is shocking and should be stopped. That is why I am backing Sally's Bill."

Nick Dearden of Jubilee Debt Campaign, which has been leading the campaign against the vulture funds, said: "It’s completely wrong that the vultures should be able to scavenge money meant for some of the poorest countries in the world. MPs’ support is important in putting a stop to the profiteering."