RBS reaches settlement in share case

Written by Tom Freeman on 7 June 2017 in News

Court appearance of Fred Goodwin avoided with out of court settlement

RBS - PA

The Royal Bank of Scotland has reached a settlement with shareholders who lost billions during the financial crisis in 2008.

The RBS Shareholders Action Group has voted to accept a 82p a share offer for shares they paid over £2 for during the bank's fundraising bid in 2008. It is almost double the bank's original offer.

This means a court appearance by former RBS chief executive Fred Goodwin has been avoided.


RELATED CONTENT


The 14-week case had been due to start on Monday, 22 May, but had been postponed to allow the campaigners to consider the offer.

The RBS Shareholder Action Group, which represents 9,000 people, claim the bank lied about its assets during the push for investors during the financial crash.

A spokesperson said: "The directors met last night to consider the legal advice and took the decision that this matter will not now go to court."

Taxpayers still own around 70 per cent of the bank, which faces a £200m bill for the settlement.​

Tags

Categories

Related Articles

Philip Hammond’s first autumn budget promises investment in technology
23 November 2017

A round-up of a wide range of measures that commit more funding, create new bodies and programmes, and change the legislative landscape of public sector technology

Budget 2017: Environmental groups question North Sea tax break
23 November 2017

Oil industry welcomed news that Philip Hammond will allow the tax history of oil and gas fields to be transferred after a sale, allowing buyers to claim greater relief when it comes to...

Philip Hammond to lift VAT from Scottish police and fire services
22 November 2017

Reports Chancellor's Budget set to lift Police Scotland and Scottish Fire and Rescue out of VAT after pressure from Scottish Conservative MPs

Share this page