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    RBS gives 10 executives £5.5m in allowances to sidestep EU bonus cap

RBS gives 10 executives £5.5m in allowances to sidestep EU bonus cap

Ten top executives at Royal Bank of Scotland have been handed almost £5.5m in shares this year as allowances to sidestep the EU bonus cap.
The latest disclosure to the stock market by the 80% taxpayer-owned bank shows that the 10 received £1.9m in these allowances for the last four months of 2014. These awards followed £3.5m handed out in August, to cover the first eight months of the year.
Only one of the 10 sits on the board: the finance […]

RBS Sorry For ‘Incorrect’ Evidence To MPs

Royal Bank of Scotland (RBS) has apologised for telling MPs that a controversial division of the bank, accused of deliberately closing viable firms, was not seeking to make money from its activities.
The development came to light when the Treasury Select Committee released a series of letters between its chairman Andrew Tyrie and bank chairman Sir Philip Hampton relating to a hearing in June.
The Committee was told then by senior bank directors it was not the case that the Global […]

RBS Group Executives’ testimony questioned

Bonuses handed out to senior bosses at Royal Bank of Scotland are facing renewed scrutiny after the chairman of the bailed-out bank apologised for inaccuracies in evidence given to MPs about its restructuring division.
Sir Philip Hampton admitted evidence given by two of the most senior bankers to the Treasury select committee was incorrect. The division is facing accusations about its treatment of small businesses.
The inaccurate evidence was given in June by Derek Sach, who ran the global restructuring group […]

RBS reputation on the rocks as Blunders continue

A BAD week for Royal Bank of Scotland was rounded off when the taxpayer-backed group was hit by a new computer systems failure and an embarrassing mistake by its number crunchers.
Just 24 hours after the owner of RBS, NatWest and Ulster Bank was fined £56million for a massive computer failure in 2012, the gremlins struck again.

The latest IT glitch affected customers using credit and debit cards but fortunately was resolved within 90 minutes.

And to pile on the woe for […]

By |November 25th, 2014|Natwest, RBS, Ross McEwan|0 Comments

Whistleblower Royal Bank of Scotland escapes Libor fine

Royal Bank of Scotland has escaped €115m of fines for alerting the European commission’s competition watchdog to two attempts to fix the prices of key interest rates.
RBS, which is 81%-owned by the taxpaer, was fined £390m last year for manipulating Libor by regulators in the US and the UK. It was given immunity from one €110m fine after telling the commission it had tried to influence Swiss franc interest rates with JP Morgan. The Wall Street bank was fined […]

RBS faces legal action over GRG unit

The Royal Bank of Scotland could face legal action from hundreds of small business owners over its controversial Global Restructuring Group (GRG) division.
According to The Times, 800 companies have approached the RBS GRG Business Action Group to be considered for a group legal action.
The action group has appointed law firm Clyde & Co to review allegations that RBS GRG, which was meant to help firms facing collapse, actually forced viable companies out of business.
The Times said some companies claimed […]

SRA silent over ‘fake’ bank law firm probe

The Solicitors Regulation Authority has received complaints about individual in-house solicitors accused of involvement in sending letters purporting to be from independent law firms, as more banks admitted adopting the practice.
The regulator declined to say whether it will investigate, despite warning in July that in-house solicitors misleading customers in this way would breach the Code of Conduct.
Questions have been raised about the role of in-house legal teams in creating the letters since the Gazette revealed in June that Lloyds […]

By |September 22nd, 2014|All Banks, HSBC, RBS, Ross McEwan|0 Comments
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    RBS CEO Ross McEwan – Deception is Common Industry Practice

RBS CEO Ross McEwan – Deception is Common Industry Practice

Britain’s biggest banks have admitted sending thousands of letters from fake debt collection agencies in a deliberate attempt to intimidate customers into paying up.
In a series of letters to the Commons Treasury committee, several of the biggest names in banking admit they have sent misleading letters to tens of thousands of customers who are struggling to repay their debts.  They now face the prospect of a full-scale inquiry by MPs, who have condemned the ‘menacing’ practice.  Andrew Tyrie, Tory […]

Banks still committing the same old crimes

Mark Garnier, the Conservative MP for Wyre Forest in Worcestershire, has condemned banks for committing “the same crimes” following the financial crisis, and called for greater empowerment and accountability for frontline staff.
Discussing the £14.5m fine imposed on Royal Bank of Scotland and Natwest for “serious failings” in their advised mortgage business by the FCA, Treasury select committee member Mr Garnier said: “They are obviously moving on with this, but it’s truly shocking that banks are still committing the same […]

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Bankers’ bonuses – 100 times higher than public sector

Bankers’ bonuses were more than a hundred times higher than public sector workers over the past year and grew at double the rate of those of the average UK worker, official figures have showed.
The average bonus for bankers and insurance workers was £13,300 between May last year to April, while that of public sector workers such as nurses and teachers was the lowest at around £100 on average.  The figures are likely to prompt further calls for stricter rules […]

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Papering over the cracks

he decision by RBS to dissolve its Global Restructuring Group, an arm of the bank that stands accused of destroying viable UK businesses for profit, will do little to repair the damage caused to the bank’s beleaguered reputation. By Ian Fraser

As a damage limitation exercise, it ranks alongside Rupert Murdoch’s shock closure of disgraced tabloid the News of the World in 2011. 

The Royal Bank of Scotland has told staff that its Global Restructuring Group (GRG), which stands accused of […]

RBS to give £3.5m in shares to top executives

The Royal Bank of Scotland (RBS) has revealed plans to give 10 top executives £3.5 million worth of shares, in a move to avoid strict EU rules on bonuses within the banking industry.
RBS, which remains 81% owned by the taxpayer after being bailed out during the financial crisis, reported losses of £8.2 billion for 2013. The bank linked the losses to restructuring costs and misconduct fines. The government blocked plans for RBS to pay bonuses twice the size of […]

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    Royal Bank of Scotland chief receives shares worth almost £1.5m

Royal Bank of Scotland chief receives shares worth almost £1.5m

Ross McEwan, chief executive of Royal Bank of Scotland, received shares worth almost £1.5m in the bailed-out bank.
The New Zealander was handed the shares as part of a signing-on deal when he was first hired from Commonwealth Bank of Australia to run the retail operations of the 81% taxpayer-owned institution in September 2012. He was promoted to chief executive last October after Stephen Hester quit and sold just under half of the 432,000 shares which were released to him […]

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    Royal Bank of Scotland chief receives shares worth almost £1.5m

Royal Bank of Scotland chief receives shares worth almost £1.5m

Ross McEwan handed shares as part of signing-on deal, as three of his executives take shares under bonus schemes.
The New Zealander was handed the shares as part of a signing-on deal when he was first hired from Commonwealth Bank of Australia to run the retail operations of the 81% taxpayer-owned institution in September 2012. He was promoted to chief executive last October after Stephen Hester quit and sold just under half of the 432,000 shares which were released to […]

Gates remain open for scandals

THE UK faces the risk of further banking scandals, unless action is taken to increase competition in the lending market for small and medium-sized businesses, according to a Government adviser.
Lawrence Tomlinson, the Yorkshire entrepreneur and Government adviser who compiled a dossier of complaints against RBS’s turnaround division, made the comments in response to reports that the Government is going to urge the big banks to increase the supply of SME (small-and-medium-sized business) loans.
The report in the Sunday Telegraph said […]

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    New RBS finance chief £1.9m ‘golden hello’ reigniting controversy over bonuses

New RBS finance chief £1.9m ‘golden hello’ reigniting controversy over bonuses

Royal Bank of Scotland has courted further controversy over ‘fat cat’ pay after handing a £1.9million ‘golden hello’ to its new finance chief.
Ewen Stevenson was awarded 584,506 shares on his first day in the job on Monday to compensate him for payments he forfeited at his previous employer Credit Suisse.  RBS shares are currently worth 326p each, up 2.3p on the day. Stevenson will enjoy an annual package of £1.9million a year, including a £800,000 salary, £280,000 in pension […]

RBS complain about ban on massive bonuses to fat cat staff

Ross McEwan’s gripe follows the bank showing higher profits – at the cost of 6300 jobs.  The bleating boss of bailed-out bank RBS has complained he’s not allowed to pay big enough bonuses.
Chief executive Ross McEwan sparked fury by warning that key staff might walk out over the Government’s refusal to back his plan for whopping bonuses for 2014.
He was speaking as 81 per cent taxpayer-owned RBS revealed pre-tax profits of £1.6billion for the three months to the end […]

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RBS Mulling Over Legal Action Against Lawrence Tomlinson

Jon Pain, the head of regulatory affairs at RBS, said the claims by the adviser to the Department for Business, Innovation and Skills had done serious damage to the bank’s reputation since his 20-page report was published in November and legal action could not be ruled out.

Royal Bank of Scotland is considering legal action against the millionaire businessman behind a damning report that accused the taxpayer-backed lender of deliberately putting customers out of business for profit.  The bank may […]

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    GRG Business Action Group Plans Further Exposure of Wrong Doing

GRG Business Action Group Plans Further Exposure of Wrong Doing

Inquiry clears bank of forcing firms into bankruptcy but criticises business culture.
Neil Mitchell, who heads an action group that plans to sue RBS over GRG, said he had not expected the report to find evidence of wrongdoing. “Now that it is published, we can get on with further exposures and actions planned on behalf of the over 2,000 cases now in circulation and seek retribution,” he said.

Clifford Chance publicised its review, which had been due to come out at […]

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    Clifford Chance Review Of Allegations By Dr Lawrence Tomlinson

Clifford Chance Review Of Allegations By Dr Lawrence Tomlinson

Clifford Chance refuted Mr Tomlinson’s claims and said it could find no instances of the types of behaviour the businessmen described in his own report, which alleged viable companies had been forced into administration through disproportionately high fees and their assets sold off at below market prices to subsidiaries of RBS.

“The bank has no financial incentive to unnecessarily bring about the customer’s insolvency by imposing unaffordable interest and fees. We found no examples where the bank deliberately charged interest […]

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