ICELAND’S former Prime Minister Geir Haarde has been found guilty of one of four charges in relation to the 2008 financial crisis that crippled the country.
Mr Haarde, 61, is believed to be the only politician in the world to face prosecution over the fallout from the financial crisis and he will not be penalised as a result of the finding.
The court found that he failed to inform other ministers of the troubles ahead.
Earlier this year, Mr Haarde firmly rejected charges that he failed to take adequate measures to protect the country's economy during the financial collapse.
"I reject all accusations and believe there is no basis for them,” he said.
He also called the proceedings "preposterous".
Iceland is still recovering from a crisis that resulted in the collapse of its three leading banks in 2008, sent its currency into a nose dive, caused inflation to soar soar and resulted in the country needing a $10bn bail-out by the International Monetary Fund to stabilise the situation.
Mr Harde was charged with failing to take proper measures to prepare the country for the financial blizzard and is also accused of not doing enough to control the banks and their bloated balance sheets when the economy was booming.