RBS Faces Losses After US ‘Fraud’

Ananova – Royal Bank of Scotland says it is facing a potential loss of £400m after a Wall Street banker was charged with a massive alleged fraud.

US prosecutors say Bernard Madoff has confessed to defrauding investors of $50bn (£33bn) in a giant pyramid scheme that collapsed in the global financial crisis.

RBS, in which the British government now has a majority stake, says it has exposure through investments in hedge funds that invested with Mr Madoff.

It is one of a number of banks that face big losses in the suspected fraud.

Santander, the Spanish bank that owns Abbey and Alliance and Leicester, said it had more than 2.3bn euros (£2.08bn) worth of exposure.

Read Complete Article

About the HedgeCo News Team

The Hedge Fund News Team stays on top of breaking news in the Hedge Fund industry on an hourly basis. Signup to HedgeCo.Net to recieve Daily or Weekly news updates from our team.
This entry was posted in Hedge Fund Fraud and tagged , , , , , , , , , , , , , , . Bookmark the permalink.

Comments are closed.