LEXLAW Solicitors & Barristers
RBS announces a New Complaints Process and Complex Fee Refunds for SMEs in their GRG division between 2008 to 2013. This process has serious flaws.
James Hurley, Enterprise Editor, of the Times, reports that the financial services industry’s regulatory watchdog, the FCA, will not rush after receiving a two year overdue s.166 report…
SMEs who claim they were mistreated by Royal Bank of Scotland’s turnaround division, GRG, await to see if the City regulator will set up an FCA-agreed GRG compensation scheme.
Kiki Loizou, Small Business Editor of The Sunday Times, reports on one of our derivatives litigation cases where Barclays Bank plc mis-sold a highly toxic derivative (a 27-year…
RBS has agreed to a £1 million settlement with a businesswoman who accused the bank of mis-selling complex derivatives. The case highlights banks selling unsuitable financial products to businesses. RBS initially denied wrongdoing but eventually agreed to the settlement, which includes repayment of derivative payments, break costs, and suspended payments. The businesswoman’s business was negatively impacted by the mis-sold derivatives, and the case exposes flaws in the Financial Conduct Authority’s IRHP review scheme.
The Times reports that Wenta, a company that supports new businesses, is suing RBS and NatWest for mis-selling a complex financial product. The banks sat on Wenta’s board and encouraged the deal, despite it being a disastrous one that cost the company over £500,000.
Lexlaw, Wenta’s lawyers claim the banks misled the company about the risks involved and have been slow to resolve the dispute. While several other banks have settled similar cases, RBS and NatWest have resisted, forcing Wenta to take legal action. The case is currently undergoing mediation, and a settlement may be reached soon.
A soon to be released FCA report on the Royal Bank of Scotland’s Global Restructuring Group scandal is to recommend an RBS GRG Review compensation scheme for businesses…
Westgate Healthcare settled a legal dispute with RBS for £10m, involving alleged misrepresentation and breach of contract regarding an interest rate swap. Deemed too sophisticated for FCA’s compensation scheme, Westgate’s claim, initiated in April 2014, led to a settlement with RBS, who imposed confidentiality and accepted no liability.
The High Court ruled that fraud allegations against RBS concerning LIBOR manipulation in a derivatives mis-selling claim were “properly arguable,” affecting SMEs sold IRHPs by major banks. LIBOR, a crucial interest rate benchmark, had been rigged by banks including RBS, resulting in hefty fines. RBS admitted misconduct in its LIBOR submissions. Property Alliance Group’s (PAG) case against RBS may set a precedent for extending time limits on claims, emphasizing the importance of seeking legal advice on mis-selling claims affected by LIBOR fraud.
The High Court has decided that it is arguable that major banks owe duties of care to their SME customers to conduct the FCA Interest Rate Hedging Product…