RBS faces huge fine over Libor scandal, says Stephen Hester

[alp227]

Source: The Guardian

The boss of the Royal Bank of Scotland is warning the bank faces a further hit to its reputation – and a huge fine – from the Libor scandal, which has engulfed Barclays and caused a fresh wave of anger against bankers.

While the £290m fine slapped on Barclays has helped to distract from the computer meltdown at RBS, which prevented up to 13m customers accessing their accounts for up to a month, Stephen Hester, RBS's chief executive, said the rate-rigging scandal was bad for the entire industry.

"RBS is one of the banks tied up in Libor. We'll have our day in that particular spotlight as well," Hester said in an interview with the Guardian. He did not know the size of the RBS fine but said that the investigation by the Financial Services Authority was "in process".

Hester is preparing to represent first-half figures – showing another loss – on Friday, when the bank's exposure to interest rate swap mis-selling will also be a focus. RBS is said to have paid £25m to just one businessman who was mis-sold products intended to protect against interest rate rises.

Read more: http://www.guardian.co.uk/business/2012/jul/29/rbs-libor-scandal-stephen-hester

[msongs]

1. so, who is going to jail over this? nt

[Cronkite]

4. +1

All our regulators seem to do is "fine" the TBTF banks for these crimes and only a small percentage of what they steal. Time to hold the CEO's personally and criminally liable for the crimes their corporations commit.

[CarmanK]

2. Means Nothing if Someone Doesn't GO TO JAIL.

Outrage, stupid, criminal, scandalous,: meaningless unless someone goes to jail for ripping off the entire world. there is so much scandal, criminality and theft in the financial sector, that the people are numb and overwhelmed by the breadth of the thievery and the inability of govt to stop the thievery. This is exactly why the US GOVT must not be impotent and too small to stand up to the WOULD BE KINGS.

[woo me with science]

7. It's not a matter of impotence.

It's a matter of taking sides, and they have not taken ours.

[lovuian]

3. Banksters keep getting away

punishing the Bank is one thing but how about punishing the Banks execs

REGULATION we need the GOVERNMENT to do their jobs

[woo me with science]

5. Oooh. A fine.

Last edited Sun Jul 29, 2012, 04:56 PM - Edit history (1)

All better now.




Had enough yet?

[Earth_First]

6. Fines, fines, fines...

I want cold hard prison for these crooks with no possibility of being allowed back into these positions when they return to the real world.

[dipsydoodle]

8. RBS was 80% nationalised by New Labour in 2008

Lock that lot up by all means.

[woo me with science]

9. The bankers will be protected.

No jail time. Just a fine.

Certain things never change from administration to administration.

The denial needs to stop.
http://www.democraticunderground.com/?com=view_post&forum=1014&pid=146626

[PSPS]

10. "RBS is said to have paid £25m to just one businessman who was mis-sold products"

Hester is preparing to represent first-half figures – showing another loss – on Friday, when the bank's exposure to interest rate swap mis-selling will also be a focus. RBS is said to have paid £25m to just one businessman who was mis-sold products intended to protect against interest rate rises.

That's how things work in the world these days. The top .01% is always "made whole." The rest, not so much.