RBS investment bank head to quit
The head of investment banking at RBS, John Hourican, is to resign over the bank's role in the Libor-rigging scandal, the BBC understands.- Explaining the Libor scandal
- 'Shred' legacy says Barclays boss
- Lloyds bonuses 'will be lowest'
- Osborne backs bank break-up powers
5 February 2013
Last updated at 19:26 GMT
Mr Hourican's departure is expected to be confirmed on Wednesday
Sources say he is being forced out even though most of the rate fixing happened before he assumed his current role.
The news comes as fines for RBS over Libor are set to be announced which could total half a billion pounds.
Mr Hourican, who earned £3.5m for last year's work, will also be stripped of his bonus for 2012, and of around £4m in bonuses due from previous years, in order to help pay the expected fines, most of which will have to be paid to American regulators.
Mr Hourican is the highest profile casualty at the bank since it emerged last year that dozens of bankers had wilfully manipulated the key interest rate.
Libor, a daily average of borrowing costs announced by a panel of London-based banks, is used to calculate payments on hundreds of trillions of dollars-worth of financial contracts.
Sources speaking to Newsnight's business reporter Joe Lynam say that because Mr Hourican had no direct or indirect knowledge of the rate rigging, many within RBS regard his impending departure as a sacrificial offering.
During his time in control of the investment banking division at RBS, Mr Hourican played a key role in returning the bank from the verge of total collapse to a near break-even point today, which could see it sold off by the UK government next year.
Mr Hourican's departure is expected to be confirmed on Wednesday
The
head of Royal Bank of Scotland's (RBS) investment banking arm is to
step down over the Libor scandal, the BBC's Newsnight programme has
learned.
John Hourican has been at RBS for 17 years and has led the investment banking division since late 2008. Sources say he is being forced out even though most of the rate fixing happened before he assumed his current role.
The news comes as fines for RBS over Libor are set to be announced which could total half a billion pounds.
Mr Hourican, who earned £3.5m for last year's work, will also be stripped of his bonus for 2012, and of around £4m in bonuses due from previous years, in order to help pay the expected fines, most of which will have to be paid to American regulators.
Mr Hourican is the highest profile casualty at the bank since it emerged last year that dozens of bankers had wilfully manipulated the key interest rate.
Libor, a daily average of borrowing costs announced by a panel of London-based banks, is used to calculate payments on hundreds of trillions of dollars-worth of financial contracts.
Sources speaking to Newsnight's business reporter Joe Lynam say that because Mr Hourican had no direct or indirect knowledge of the rate rigging, many within RBS regard his impending departure as a sacrificial offering.
During his time in control of the investment banking division at RBS, Mr Hourican played a key role in returning the bank from the verge of total collapse to a near break-even point today, which could see it sold off by the UK government next year.
Nenhum comentário:
Postar um comentário