Page 16 - RBS GRG F Case Study

Evidence from Tomlinson showed that 94% of SME’s
entering GRG were killed off for profit. A higher casualty

rate than front line soldiers serving in WWI. (2) Tomlinson
who banked with RBS was subsequently told by RBS that

he could no longer remain a customer of the bank who

said that the decision had nothing to do with the critical

report.

He said the businesses had then been moved to the

bank's Global Restructuring Group (GRG), which had

charged extra interest and fees.

RBS denied GRG had treated customers unfairly. It

commissioned its own inquiry, which rejected the main

allegations in Mr Tomlinson's report. (2,3)

Tomlinson commented:

"I've been with them 20 years. I've tried to help them

change, and they've cancelled all my business and

personal accounts - I think to just create the maximum

amount of disruption to me and my businesses" (3)

The business secretary, the chancellor of the exchequer,
and the governor of the Bank of England all demanded

an urgent regulatory investigation. Within a day of the

report being published, the Financial Conduct Authority

had launched an official inquiry. (25)

The FCA had no option but to undertake a review. Most

practitioners expected it to take about six months. But it

took until April 2016.