Noel Edmonds, Deal or No Deal star, who is currently taking legal action against Lloyds Banking Group, has claimed to have viewed the leaked RBS GRG report.
He understands that if the report was to be officially published – RBS would be on the receiving end of claims in excess of £100bn.
“The claims that RBS would receive would be in excess of £100bn,” said Edmonds.
“The bank is worth a quarter of that. It would be the end of RBS.” Read our comment in The National.
The Financial Conduct Authority (FCA) commissioned a report into the treatment of businesses under the Global Restructuring Group, but it is yet to be officially released.
Last month, a BBC journalist obtained this report which exposed the full extent of the notorious Global Restructuring Group.
The beginning of the scandal
16,000 companies were allegedly pushed into the Global Restructuring Group (GRG) – Royal Bank of Scotland’s (RBS) former turnaround division, after the onset of the financial crisis of 2008.
The taxpayer-backed Bank was expected to support struggling businesses, but in reality – GRG was used to secure as much return for the Bank as possible, regardless of whether the business was performing well or not.
In the vast majority of cases, aggressive restructuring, lack of transparency around fees, and debt for equity swaps known as PPFAs were just some of the ways businesses were affected by GRG.
RBS launches Complaints Review Scheme
In November 2016, the Bank set aside £400m in compensation for businesses which were adversely affected by the Global Restructuring Group.
Seneca Banking Consultants have worked with several businesses affected by the Global Restructuring Group and our GRG findings have been featured in The Times, The Business Desk and The National.