Investors target City regulator over handling of 2008 bank collapse
Campaigners fighting on behalf of almost one million Bradford & Bingley investors have fixed their sights on the City regulator.
The Bradford and Bingley Action Group (BBAG) has lodged a Freedom of Information request with the new Financial Conduct Authority (FCA) to see whether its predecessor – the Financial Services Authority (FSA) – withheld information from shareholders in the lead up to the bank's collapse in 2008.
Bradford & Bingley, best known for its bowler hat logo, was heavily exposed to the troubled buy-to-let mortgage market in the lead-up to the financial crisis. The lender ran into difficulties when funding from the wholesale money markets dried up.
The BBAG has since been fighting for compensation for shareholders who incurred average losses of between £800 and £1,000 each. Many of the investors received shares as part of the bank's demutualisation in 2000. The investor group alleges the officers from the FSA were "reassuring members of the public about the financial viability of the company" in the week leading to its nationalisation, a decision overseen by former Prime Minister Gordon Brown and his Chancellor, Alistair Darling. By doing so, they claim shareholders were misled about the bank's true financial health.
An FCA spokesman said: "The FCA is unable to comment as it has only recently received a request, which it is considering."
The BBAG is also fighting with the Information Commissioner's Office for access to official documents. A decision on this is expected soon.
Is your name now 'banned' in Saudi Arabia?
Oscar Pistorius trial: Photographs of Paralympian splattered in blood shown in court
Seth Rogen compiles list of all the celebrities he’s got high with
Missing Malaysia Airlines Flight MH370: Satellite ‘pings sent five hours after contact was lost' the only clue in hunt for £160m plane
Missing Malaysia Airlines Flight MH370: Plane's communications were deliberately disabled says prime minister Razak as new radar evidence points to hijacking
Katie Hopkins continues campaign to become Britain's most hated talking head with poorly timed Bob Crow tweet
No EU referendum under Labour: Ed Miliband to reveal that vote on membership is ‘unlikely’ in next Parliament if party wins power
Grace Dent: Who cares if she spells it Barraco Barner? Gemma Worrall is more employable than some bookish arts graduate
Europeans have ‘got whiter’ due to natural selection in past 5,000 years, scientists say
Fracking is turning the US into a bigger oil producer than Saudi Arabia
The rise of Ukip: Study warns Labour that Eurosceptic party's electoral base now 'more working class than any of the main parties'
- 1 Is your name now 'banned' in Saudi Arabia?
- 2 Best films on Netflix: 32 movies that will put an end to your scrolling
- 3 Saving a crushed egg with tape and glue: Why you should care about the kakapo
- 4 Istanbul protesters take 'Ellen selfie' from the back of a police van
- 5 Lady Gaga has struggled with eating disorders in the past, so it's indefensible that she's glamourising bulimia in her SXSW set
iJobs Money & Business
£35000 - £43000 per annum + Bonus and Benefits: Harrington Starr: A global lea...
£50000 - £60000 per annum: Harrington Starr: Linux Systems Administrator - UNI...
£32000 - £36000 per annum + generous benefits: Pro-Recruitment Group: * TAX * ...
£37000 - £40000 per annum + £20000 benefits package: Pro-Recruitment Group: **...