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

Campaigners urge ministers to ensure National Investment Bank boosts low carbon infrastructure
15 December 2017

Environmental campaigners welcomed plans for £340m in capital funding for the National Investment Bank, while urging ministers to ensure it helps develop Scotland’s low carbon...

Scottish income tax: the time has come
15 December 2017

Analysis: Derek Mackay’s 2018/19 draft budget marks a new era for the Scottish Parliament as it finally faces up to its tax powers

Scottish Budget 2018: key points
14 December 2017

An overview of some of the key points in the 2018/19 Scottish budget including changes to income tax and the public sector pay cap

Share this page