Arab Today, arab today rbs shareholders launch lawsuit over shares sale
Last Updated : GMT 15:22:09
Arab Today, arab today
Arab Today, arab today

RBS shareholders launch lawsuit over shares sale

Arab Today, arab today

Arab Today, arab today RBS shareholders launch lawsuit over shares sale

London - AFP

Thousands of investors in Royal Bank of Scotland on Wednesday launched a potential £4 billion ($6 billion, 4.7-billion-euro) claim against the bank and its old bosses over a controversial 2008 shares sale conducted just before its state bailout. The RBOS Shareholder Action Group -- comprising more than 12,000 private shareholders and over 100 institutional investors -- announced the legal action in a statement which argued that they had all lost money in a rights issue that misrepresented the bank\'s health. Former top management -- including ex-chief executive Fred Goodwin and former chairman Tom McKillop -- are also being sued. Royal Bank of Scotland declined to comment on the matter. \"The RBOS Shareholder Action Group today issued proceedings against Fred Goodwin, Tom McKillop, Johnny Cameron, and Guy Whittaker, all of whom were directors of the last, but not least, of the five defendants named; the Royal Bank of Scotland itself,\" the statement read. \"The Action Group maintains that the bank\'s directors sought to mislead shareholders by misrepresenting the underlying strength of the bank and omitting critical information from the 2008 rights issue prospectus. \"This means that RBS will be liable for the losses incurred on shares subscribed in the rights issue, by reason of breaches of Section 90 of the Financial Services and Markets Act 2000. \"It is estimated that the final claim may be as much as £4.0 billion,\" the statement added.RBS had launched a vast £12-billion rights issue in 2008 to shore up its balance sheet after its disastrous consortium takeover of Dutch bank ABN Amro at the top of the market. However, just months later, RBS was part-nationalised by the British government with £45.5 billion of taxpayers\' cash, making it the world\'s biggest banking bailout. Britain still owns 81 percent of the Edinburgh-based lender after it was rescued at the height of the global financial crisis. \"Today represents a giant step forward for the many thousands of ordinary people who lost money as the result of inexcusable actions taken by banks and their directors in the financial crisis,\" said a spokesman for the Action Group. \"Now, for the first time, some of these directors will have to answer for their actions in a British court\". The claim is the second in recent days to be lodged against RBS after a group of 21 claimants launched a multi-million-pound lawsuit last week, also over its 2008 rights issue.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today rbs shareholders launch lawsuit over shares sale Arab Today, arab today rbs shareholders launch lawsuit over shares sale

 



Arab Today, arab today
Arab Today, arab today Rabia Fatima reveals role of "Facebook" in her career

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career
Arab Today, arab today Messi visit will contribute in tourism

GMT 14:04 2017 Friday ,24 February

Messi visit will contribute in tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Mental conflict endures

GMT 07:36 2017 Friday ,24 February

Mental conflict endures
Arab Today, arab today Media host Mona Iraqi stresses her show's success

GMT 15:32 2017 Wednesday ,22 February

Media host Mona Iraqi stresses her show's success
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Wafaa Amer is happy for Sherihan’s return

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday