Backing secured for legal fight against lender
The Press and Journal, 26.04.16
The Royal Bank of Scotland (RBS) is facing fresh pressure from small business owners who claim the lender shut them down only to profit from the sale of their assets.
RGL Management, which has been formed to gather claims against RBS over the conduct of its now-defunct Global Restructuring Group (GRG), has secured backing to launch a legal action against the bank. Nigel Henderson, an Angus businessman who formerly owned hotels in Montrose and on Skye and who has claimed the bank forced him and his wife’s business to file for bankruptcy in 2001, has joined forces with the RGL through his group, the SME Alliance.
Mr Henderson, who saw an appeal thrown out by the court of session in 2011, said: “RGL has had a very good response to the publicity surrounding its launch in March, signing up potential claimants at an increasing rate whose individual losses range between one or two million to tens of millions of pounds.”
He added: “I am aware that there may be a significant number of businesses adversely affected by RBS and who may not realise that there is the possibility for redress.”
Lawyers Humphries Kerstetter, who have secured barristers led by civil fraud specialist Davenport QC, said: “We are very pleased to have been instructed to represent RGL on such an important claim. From what we have seen, we believe there is potentially a strong case and we intend to move forward with it quickly.”
It is thought the case is gathering pace ahead of the publication of an investigation into GRG by the Financial Conduct Authority (FCA).
A spokesman for RBS said the bank will “defend these claims vigorously”.