Page 18 - RBS GRG F Case Study

“Yes, we do business with all the large corporate lawyers."
Then the MPs wanted to know how many drafts of the

report had been submitted to RBS before it was
published, and whether they had been interfered with. “I

have no idea,” said Sullivan. “I never saw a single draft.”

That was an answer that would come back to haunt him.

(25)

Next, the MPs cut to heart of GRG’s practices. “You have

been with GRG for a long time, Mr Sach,” said John Mann.

“How much has it contributed to the bank’s profits?”

Sach’s answer was unequivocal: “It does not contribute to

the bank’s profits at all,” he said. “Our main objective is to

restore the customers’ health and strength.” Sullivan

backed him up. “It is absolutely not a profit centre,” he

said, adding that it would be “totally inappropriate” to

describe it as such.

The MPs were incredulous, pointing out the finding in the
Large report that GRG operated as an “internal profit

centre”. Digging in, the two executives ventured that the
former deputy governor of the Bank of England had been

mistaken.

“So he just got it wrong?” asked Tyrie.

“I believe so, yes,” said Sach.”