Watchdog: We were right to back Paul Flowers January 7, 2014 The man who gave the green light to the appointment disgraced former Co-op chairman Reverend Paul Flowers yesterday said he “stands by” his decision. Clive Adamson told MPs it was clear Flowers had no banking experience – but that he needed a big personality to whip the bank’s “large and unruly board” into shape. The [...]
Co-op execs face watchdog probe January 6, 2014 THE BOSSES who oversaw the Co-op Bank’s near collapse last summer are facing enforcement probes from the City’s regulators, the watchdogs said yesterday. Former senior staff at the bank could face fines or bans from the financial sector if they are found to have behaved wrongly in the run up to the lender’s capital crisis. [...]
Regulators confirm enforcement probes into Co-op Bank January 6, 2014 The Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA) have confirmed that they're undertaking an enforcement investigation in relation to the Co-operative Bank. The PRA says it will consider the role of former senior managers, whilst the FCA says that the decisions and events leading up to June 2013 will be looked at. Co-op [...]
Co-op beefs up governance by hiring new secretary from Lloyds December 19, 2013 THE EMBATTLED Co-operative Group yesterday hired Claire Davies as its new group secretary, replacing Moira Lees, who retired last month. Solicitor Davies has held a range of relatively high profile roles at Lloyds, Legal and General, Ernst and Young and the Woolwich over 27 years and will be involved with the ongoing governance shakeup. The [...]
Co-op Bank’s deal gets High Court go ahead December 18, 2013 THE BAIL-IN of Co-op Bank investors was approved by the High Court yesterday, the final stage in pushing through the bank’s recapitalisation without needing taxpayer support. Under the deal hedge funds will take around 70 per cent of the equity with the Co-op Group holding the remaining 30 per cent. Meanwhile retail investors will be [...]
Lord Myners to shake up Co-op Group’s board December 12, 2013 THE CO-OPERATIVE Group’s governance system will be shaken up by Lord Myners, the firm said yesterday, as it seeks to make its democratic system more suitable to modern business. Under the current setup the entire board of 20 non-executive directors is elected by Co-op members, with no requirement to have external or professional directors. Lord Myners [...]
How much is a Co-op Group chairman worth? December 12, 2013 £1. Former City minister Lord Myners has been brought in by the embattled Co-op Group to help reverse its fortunes, and he told BBC Radio 5 live that he would be paid £1 a year for his work. His role as senior independent director will mean he oversees a governance review for the group. Its [...]
Co-op’s advisers defend role in botched Lloyds branch sale December 3, 2013 THE CO-OPERATIVE Bank’s advisers on its aborted attempt to buy 632 Lloyds branches defended their part in the botched sale yesterday, insisting their advice was robust. JP Morgan’s Tim Wise, part of the team that advised Co-op, told MPs his bank had given “dispassionate and conservative” advice, despite the majority of its payment being dependent [...]
Mark Hoban under pressure over meetings with Co-op executives December 1, 2013 CONSERVATIVE MP Mark Hoban is under pressure to reveal how many meetings and phone calls he had with Co-op bosses during the doomed sale of Lloyds bank branches. The Co-operative made a bid for the branches in 2011 in the hope of expanding its presence on the UK high-street, but withdrew its offer citing a [...]
Top hedge fund investor sells holdings of Co-op Bank bonds November 28, 2013 A KEY player in the deal to take ownership of the Co-op Bank away from the Co-op Group has sold its holdings in the lender, it emerged yesterday, after the value of its debt holdings increased. Aurelius Capital has sold its bonds in the bank, meaning it will not be involved in the debt for [...]