Bailout Battles – Fred the Shred, Cherie Booth, Banks and Bonuses
As if Fred didn’t have enough on his plate. It emerged this week that British pension funds intend to sue Sir Fred Goodwin and the Royal Bank of Scotland in the American courts for hundreds of millions of pounds. California-based Coughlin Stoia Geller Rudman & Robbins has instructed Cherie Booth QC of Matrix Chambers to investigate whether two UK local authorities can join a US class action against the Royal Bank of Scotland. Something a little ironic there perhaps… The …
As if Fred didn’t have enough on his plate. It emerged this week that British pension funds intend to sue Sir Fred Goodwin and the Royal Bank of Scotland in the American courts for hundreds of millions of pounds. California-based Coughlin Stoia Geller Rudman & Robbins has instructed Cherie Booth QC of Matrix Chambers to investigate whether two UK local authorities can join a US class action against the Royal Bank of Scotland. Something a little ironic there perhaps…
The funds claim that RBS and Fred, “falsely reassured” investors that the bank was in good health when it was “effectively insolvent” because of bad loans. The class action lawsuit is open to all European and US investors in RBS to join. Thinking Lichenstein maybe Fred?
All this at at time when MSPs have launched a campaign to use anti-terrorism laws to freeze the Shred’s assets. Use of the anti-terrorism laws in this way might seem a little abusive but who knows what will happen given the political pressure mounting over the issue.
Meanwhile, in the US, AIG is also receiving abuse from Obama over its intention to pay bonuses following its mamouth bailout. The letter from AIG CEO Edward Liddy to Treasury Secretary Timothy Geithner makes for an amusing read, some of you may get a little dejavu when the excuses start to roll:
On the one hand, all of us at AIG recognize the environment in which we operate and the remonstrations of our President for a more restrained system of compensation for executives. On the other hand, we cannot attract and retain the best and brightest talent to lead and staff the AIG businesses — which are now being operated principally on behalf of the American taxpayers — if employees believe that their compensation is subject to continued and arbitrary adjustment by the U.S. Treasury.
Here is a snippet of what Law Dork had to say about that:
What a load of bullshit. The Obama sentence — “our President” — is laughable window dressing, practically dripping with sarcasm. Obviously, Liddy, you do not recognize the environment in which you are operating.
Any of this sound familiar?
March 17, 2009
So let me get this straight. Tony Blair profited (and continues to do so handsomely) from presiding over the runination of this country and now that dreadful money grabber of a wife of his is going to clean up in the clean up. Beggars belief. Champagne socialism doesn’t even come close to describing this lot.
March 17, 2009
Think Law Dork has hit the nail on the head
March 17, 2009
i am in the wrong job, there is no way i will ever make that kind of money being a lawyer and i signed up thinking it was well paid
so i should just use my qualification to join a bank and ruin it or become a politician and ruin the country instead to acheive riches and greatness
enlightened
March 17, 2009
Does make you wonder if honest hard work really is the way forward when all the people benefiting from the downturn are people involved in its creation – lawyers, bankers, politicians who have just moved jobs to be on the right side. At least Fred is sticking to his principles of being an greedy ba$tard.