The Prime Minister has threatened legal action against the former chief executive of Royal Bank of Scotland to recover the money, amid mounting public and political anger over the deal.
But last night, lawyers said Mr Brown would almost certainly fail to recoup any of Sir Fred’s £16.9 million pension pot, which was approved by his own ministers.
Lord Myners, the City Minister who sanctioned the deal, is now under pressure from MPs and trade unions to resign. The multi-millionaire minister admits he was involved in negotiations over Sir Fred’s early retirement – which effectively doubled the size of the pot – but claims he was unaware he could have blocked the package on offer.
That claim was dismissed as "ridiculous" by senior RBS sources yesterday, with critics suggesting that if he did not know, he should have asked.
Slightly one in the eye for all thoise screaming that regulation by the just and the wise is the answer to all our ills.
The just and the wise tend not to end up being the people doing the regulating.
As various bloggers have been able to dig out of the annual reports, if he retired early, he got the enhanced pension. If bloggers can dig it out then someone actually authorising such a deal who did not dig it out cannot be counted amongst the just and the wise, can they?
3 responses so far ↓
1 Brian // Feb 28, 2009 at 10:08 am
Was unaware? WAS UNAWARE?
Was unaware my arse.
He just wanted the dead dog off his desk, and a few million of taxpayer’s money is a small price to pay if it avoids inconvenience for the minister.
Presumably, since he’s a millionaire, he’s a bit more careful with his own money.
2 Kit // Feb 28, 2009 at 10:17 am
Gordon’s got the last laugh as the public has no idea that he splashed another £20b on RBS plus another £100b in the near future.
3 Monty // Feb 28, 2009 at 8:38 pm
Why was this better than just allowing the bank to go belly up? Would the capital of depositors not still have been protected by the FSA guarrantee?
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