Vince Cable Presses For Decision on RBS Prosecutions

RBS

Vince Cable is turning up the pressure on Scottish legal authorities to make a decision on whether to prosecute former directors of Royal Bank of Scotland who were in post at the time of taxpayer bailout in 2008.

Scotland's Crown Office and Procurator Fiscal Service have been reviewing whether a case can be brought against any former directors since January 2012, and the business secretary is now seeking clarity on when a decision might be made.

In a letter to Lord Wallace, advocate director for Scotland, Cable said: "I want to be clear that I am not seeking to influence the outcome of this process. However, public and media interest in the banking sector and RBS have not dissipated.

"There have been numerous questions about what steps can be taken to address concerns. In particular this has focused on the prosecution of and possible disqualification of former directors in appropriate cases."

He asked for an update on progress and "likely timeframe" for when any decision might be made.

Fred Goodwin, the chief executive of RBS at the time of the bank's near collapse, has been stripped of his knighthood but did not face disciplinary action by the Financial Services Authority when it published the findings of its inquiry into what went wrong at the bank.

In the wake of the report in December 2011, Cable referred the matter to Scotland after taking legal advice on what, if any, enforcement action might be appropriate.

In Aprilafter a damning report on HBOS by the commission on banking standards, Cable asked civil servants to consider whether three former HBOS directors should be disqualified.

Powered by Guardian.co.ukThis article was written by Jill Treanor, for The Guardian on Wednesday 1st May 2013 00.05 Europe/London

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