In a statement given to Money Marketing, a Royal Liver spokesman alleges that McGregor (pictured) failed to follow risk management and procedural processes and “breached his duties” by sanctioning payments and entering into “alleged commercial arrangements” with a third party.
Royal Liver says the matter is now subject to legal proceedings.
In December, Royal Liver said McGregor had been placed on extended leave due to “personal circumstances” and his deputy, Tony Richards, was appointed interim chief finance officer.
Royal Liver says, after taking legal advice, it put McGregor on extended leave to achieve his co-operation while it gathered further information.
A spokesman says: “Royal Liver confirms that the board has dismissed its finance director, George McGregor, for breaches of his duties to the society.
“Following early detection by the society’s normal internal audit plan in late 2009, it was brought to the attention of the committee of management that George McGregor may have made unauthorised payments and entered into alleged contracts to the disadvantage of the society.
“It is now clear that McGregor failed to follow the society’s risk management and procedural processes and breached his duties.
“These unauthorised payments and alleged contracts are now the subject of legal proceedings which the society is robustly pursuing to recover monies which, in the society’s opinion, have been wrongfully paid, and challenge the alleged contracts. We are keeping the relevant authorities informed and will continue to do so.”
McGregor was unavailable for comment.
Last month, the FSA ordered Royal Liver to pay up to £7.8m in customer redress to clients for failings of its now defunct IFA arm, Park Row.
The regulator also fined former Park Row chief executive Peter Sprung £49,000 for failing to ensure sales were suitable.