RBS Seeks to Combine Suits Over 2008 Offering Into Single Claim
Royal Bank of Scotland Group Plc asked a London court to combine lawsuits filed by more than 16,000 investors who say they lost money on a 2008 share offering into a single group action.
The best way to deal with at least three lawsuits is to “produce a single set of particulars telling only once the story upon which they wish to rely,” RBS said in documents from a hearing today.
RBS is facing lawsuits from thousands of investors who say they weren’t warned about the bank’s perilous financial situation in a 2008 share-issue before its 45 billion-pound ($69 billion) bailout by the British government. In one of the claims, 12,000 shareholders are seeking as much as 4 billion pounds. The suit also named executives including former chief executive officer Fred Goodwin.
Lawyers at London law firm Leon Kaye Solicitors said in court documents today that they represent an additional 4,000 small investors. Claimants in one of the previous actions included pension funds for U.K. mineworkers’ and Illinois teachers.
The cases are: John Greenwood v. Frederick Goodwin & Ors, High Court of Justice, Chancery Division, HC13F01247 and Trustees of the Mineworkers’ Pension Scheme Ltd & Ors v. The Royal Bank of Scotland Plc, High Court of Justice, Chancery Division, HC13D01192
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