FCA orders new inquiry into HBOS chiefs

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City regulators have decided to investigate the role of HBOS’s senior management in the near collapse of the bank during the financial crisis more than seven years ago.

The Financial Conduct Authority and the Bank of England’s Prudential Regulation Authority will investigate the bank’s bosses, who could be barred from working in the City.

The FCA said the investigations would decide whether the former bosses, who include ex-chief executive Andy Hornby and his chairman, Lord Stevenson, should face prohibition proceedings.

The decison follows a highly critical report by Andrew Green QC regarding regulatory enforcement decisions taken over HBOS, which traded as Halifax and Bank of Scotland. The bank was rescued by Lloyds in a Labour government-engineered deal in September 2008.


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Powered by Guardian.co.ukThis article was written by Sean Farrell, for theguardian.com on Thursday 28th January 2016 10.21 Europe/Londonguardian.co.uk © Guardian News and Media Limited 2010

 

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