Daily Banking Industry News
Friday 10th of April 2009

Banking Sectors:

By company:

By organisation:

Also see:

April 5, 2009

RBS shareholders revolt against remuneration policy

by Gill Montia

Story link: RBS shareholders revolt against remuneration policy

Royal Bank of Scotland (RBS) shareholders have voted overwhelmingly against the remuneration policy proposed by the bank’s board at its annual general meeting, on Friday of last week.

UK Financial Investments, the body set up to oversee taxpayers’ interests in the bank, put its voting weight behind the protest which has been fuelled by the £700,000 a year pension awarded to Sir Fred Goodwin, RBS’s disgraced former chief executive.

However, the 90.4% shareholder vote against the remuneration policy does not oblige the board to act as the vote was “advisory”.

Sir Fred’s name will be forever linked with the group’s disastrous acquisition of Dutch bank ABN Amro and his refusal to succumb to public sanction and hand back his pension entitlement.

RBS’s new leadership say they are trying to create a “firebreak” between the recent past and their determination to return the business to profit.

Prior to the meeting, RBS chairman Sir Philip Hampton called for an end to the “public flogging” of the bank at the same time as announcing that further job cuts are inevitable, both in the UK and internationally.

Meanwhile, matters surrounding RBS’s £12 billion rights issue of last summer are unlikely to evaporate.

Speaking to the BBC, Michael Lamoureux, who founded the RBS shareholder action group, accused the bank of perpetrating “the biggest crime in financial history in the UK” when it embarked on the fundraising.

Legal action is planned.

 

Add to Bookmarks:

ADD TO NETSCAPE     ADD TO DEL.ICIO.US     ADD TO DIGG     ADD TO FURL

ADD TO STUMBLEUPON     ADD TO YAHOO MYWEB     ADD TO GOOGLE     ADD TO SPURL


Related stories to: RBS shareholders revolt against remuneration policy

HSBC faces shareholder revolt over remuneration  ...

FSA speaks out on remuneration and risk  ...

FSA publishes consultation paper on remuneration  ...

HSBC shareholder revolt gains support  ...

HSBC faces shareholder revolt  ...

No Comments »

No comments yet.

Leave a comment


Previous: « MPs recommend compensation for charities’ Icelandic losses
Next: Debt Relief Orders have arrived »

Visited 330 times, 7 so far today


Savings & Investment News


Borrowing & Lending News



Financial Reports News