The chairman of Royal Bank of Scotland conceded under tough questioning from the bank's shareholders Tuesday that he could not guarantee an end to the rash of 'skeletons in the cupboard' which have plagued the taxpayer-funded bank over the last few years.
The Independent newspaper reports that Sir Philip Hampton, the chairman of RBS, admitted that he had been 'very disappointed' by the succession of scandals which have rocked the largely state-owned institution since it was bought out by the Government five years ago.
He referred to the £390m settlement the bank had to make for Libor rate fixing, the loss of a further £1.1bn from mis-selling and £175m spent on an IT fiasco, and said that while he did not see any major new problems looming, he could not be sure of that.
In the meantime, Reuters reports that RBS said on Tuesday it would need another 18 months to strengthen its capital position enough to satisfy regulators.
Regulatory approval for the state-backed bank's capital levels is considered crucial for boosting RBS's share price, which has been hurt by speculation it may need to raise more money.
'Our capital ratios are transformed but we have another 18 months or so to get them in the final shape that we and our regulators want', Chief Executive Stephen Hester told shareholders.