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Vince Cable pushes for boardroom ban for ex-HBOS chiefs

Vince Cable 480
Business secretary Vince Cable

Business secretary Vince Cable has asked officials to investigate whether three former HBOS directors could be banned from working as company directors as it emerges Sir James Crosby has a pension pot of over £20m from the collapsed bank.

The Sunday Times reports Cable has told the investigations and enforcement branch of the Insolvency Service to see if there is enough evidence to start disqualification proceedings against former HBOS chairman Lord Stevenson, and former chief executives Crosby and Andy Hornby.

It follows a damning report from the Parliamentary Commission on Banking Standards last week into the collapse of 2008, and which called for the three executives to be banned from working in financial services.

Crosby stepped down from his role at private equity firm Bridgepoint in the wake of the report, but remains a director of the caterer Compass.

The Sunday Times reports Cable describing the intervention to ask officials to look into the conduct of the former HBOS directors as the “first step” in a process which could see them banned as company directors for life.

Cable told the newspaper: “There are things I am able to do. It is quite a legalistic process. I can ask [officials] to look at whether the companies investigations branch take action. We do have this power that I have begun to initiate.”

The paper also reports that Crosby is sitting on a retirement fund of over £20m from his time as HBOS, entitling him to an annual income of £700,000.

Meanwhile Hornby is in line for a possible share windfall of more than £50m from the bookmaker Coral, his current employer.

Some MPs have called for Crosby and Stevenson to be stripped of their titles, as was the case with former Royal Bank of Scotland chief executive Fred Goodwin.


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There are 5 comments at the moment, we would love to hear your opinion too.

  1. HBOS only ? What about the senior managers / directors at Nat West / RBS who were also so incompetent that they cost the British Taxpayer Billions ?

  2. I agree with Phillip Cunrow

    But why stop there ? Want about the senior management at the FSA ? Sants, Cole etc etc etc or how about the director of FCA Griffiths-Jones who at the time was chairman of KPMG HBOS auditers.

    They are all guilty !! all these people want to do is secure the next top job and to hell with the rest of the world all this incest and inbreeding is just not healthy ? regulator to bank to auditor and back again sounds like a Tolkin book !!!

  3. What about a ban for Mr “No more Boom and Bust” and for the Man who fell on his Golden Sword and Sir Undeserved?

  4. dAphne,jenkinssmythe 8th April 2013 at 10:51 am

    i think they should be banned from shopping malls seeside resorts and waitros. horrible incompetent nincompoops

  5. I am reminded of a statement, I think by by Prof Jim Gower around 1988 when the Financial Services Act came about, it went something like – “you will never prevent a fool from being parted with his money but our job is to prvent ordinary people being made fools of” We have all been made fools of, and it continues to be the case. It really upsets me when Mr Blair, Brown, Balls, Turner and Co who were elected, in part at least, to supervise the city did not do so. They have got away with it and all at our continued expense. Its not right.

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