Royal Bank of Scotland (RBS) former CEO under fire from politicians

The former CEO of Royal Bank of Scotland (RBS) Sir George Mathewson and the former CEO of Bank of Scotland before it became HBOs Sir Peter Burt have come under fire from politicians saying that the former bank chiefs in regards to taking control of HBOS and keeping it independent.

If the proposal did win over the 2.1 million shareholders then Chairman Lord Stevens and CEO Andy Hornby would have to step down.

But leading politicians are not in favour of the bid, the president of the Scottish Conservatives David Mitchell said the two ex banking chiefs had overseen “the beginning of the demise” of the two banks in their previous roles.

It also was reported that one large institutional shareholder wasn’t taking the approach seriously at all saying it’s ludicrous and the pair have no credibility.

As criticism grew yesterday over their HBOS proposal First Minister Alex Salmond talked about the Sir George and Sir Peter’s bid and saying that if public money is to be used to support the financial sector it is reasonable to make sure we can do so without thousands of job losses and lessening the competition throughout the economy, which could then effect households and businesses, pointing out that the Office of Fair Trading are already looking into the problems the Lloyds TSB and HBOS merger could cause.

Source: scotsman