logical deduction - The People Of Trutham-And-Ly

Here's an interesting variation on the classical liar puzzles:

Trutham-and-Ly is a small town in the north of Logistan. It is divided into two districts, Trutham and Ly, separated by a small stream. Truthamers always tell only the truth, and Lyers only tell lies. While walking over a bridge crossing the stream, you meet the two local policemen, Bob and Bill. You know that both of them are from Trutham-and-Ly.

Bill says: "Lyers never lie."

Bob says: "Bill is from the same district as I am."

Which district is Bob from?

Answer

Is it this?

All Lyers are mute and illitirate (more precisely dysgraphic). Bob (and Bill) are from Trutham.