Ex-RBS exec says he was focused on rescuing 'bust bank', not rate rigging

Pulling Hair

It's tough at the top.

John Hourican, the man who took the rap for Royal Bank of Scotland’s part in the Libor-rigging scandal, has claimed he was focused on rescuing a 'bust bank', not checking data submitted to the rate-fixing panel.

The London Evening Standard reports that Hourican, who headed RBS’s investment bank, also said he did not think 'data submission to a trade association was a high-risk part of what we were running'. He added: 'We had a bust bank with a trillion-pound balance sheet that needed to be managed.'

The resignation in January of Hourican followed 'long discussions' with Stephen Hester, RBS’s former chief executive. The bank was fined $638.4m by regulators in the UK and US. Hourican has since been appointed CEO of the failed Bank of Cyprus.

He remains friends with Hester, who was ousted by Chancellor George Osborne in June.

'Stephen was a fantastic chief executive, and I believe that the company would have been better-served in retaining him', he said. 'He is a loss to the company because he was a very good chief executive at a very difficult time. Whoever gets Stephen will be very lucky'.

To access the complete London Evening Standard article hit the link below

RBS man who took blame 'was trying to save bank'

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images: © Mark Ramsey, © stuartpilbrow

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