RBS ‘close’ to Enron settlement

Royal Bank of Scotland is close to agreeing a settlement with Enron
shareholders after being accused of helping the collapsed US energy giant
conceal its accounting fraud.

According to the Daily Telegraph, RBS will shortly close a
multi-million pound civil action by paying out around £100m although executives
close to the bank were reported as saying it could be double this amount.

RBS, Britain’s second biggest bank, operates in the US through its retail
arm, Citizens Bank, which has more than 1,600 branches and generates income of
$5.9bn (£3.2bn).

Citizens Bank accounts for more than 10% of RBS’s turnover.

An announcement of the settlement could accompany the bank’s interim results
on 4 August, the paper said. 

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