RBS off US hook
The US Department of Justice is dropping a deferred prosecution against the Royal Bank of Scotland (RBS) that has been hanging over the group's American operations since 2007.
The US Department of Justice is dropping a deferred prosecution against the Royal Bank of Scotland (RBS) that has been hanging over the group's American operations since 2007.
The news means the authorities in the US now believe RBS complies with banking secrecy and dollar clearing laws that have already seen it pay part of a $500m fine.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
In advance of the takeover, the US authorities found that ABN had "turned a blind eye" to money laundering legislation, thereby allowing transactions by customers in Iran, Libya Sudan and Cuba.
After the takeover the consortium became liable both for the fine and for sorting out procedures at ABN under a so called "Deferred Prosecution Agreement".
On 23 December the US District Court "dismissed" RBS's obligations under that agreement.
Since the takeover, ABN AMRO's US operations have been re-named RBS N.V.
The ABN deal is seen as a significant factor in nearly bankrupting RBS which in 2008 required a nearly £40bn bail out by the British tax payer.
BS
-
The UK areas which saw biggest jump in asking prices in 2025 – is yours on the list?We look at the UK areas where asking prices rose the most last year.
-
‘Sandwich generation’ carers losing £6,000 a year to support elderly relativesMiddle-aged adults are often caught between caring for children or grandchildren and their elderly parents, leaving them taking time out of the workforce and facing a huge hit to wages while they are still trying to save for retirement. We look at the true cost of caring.
