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News Updates for Members of the RBS Rights Issue Action Group

RBS Rights Issue Action Group  – News Updates

5th January 2017

As many of our Members might be aware from various Press Reports four out of the five Claimant Groups (including our Group namely the RBS Rights Issue Action Group) have settled their Claims.

The background to this is that a Mediation discussion took place over a period of two days at The Grove Hotel in Hertfordshire in July 2016 and the appointed Mediators were leading Mediators from the United States and New Zealand. Ultimately however the Mediators were unable to conclude a settlement as the terms proposed by Messrs Herbert Smith Freehill Solicitors on behalf of The Royal Bank of Scotland (“RBS”) were considered to be unacceptable.

Ultimately following further discussions and negotiations three of the Lead Claimant Groups represented by the following Solicitors namely Quinn Emanuel, Stewarts Law and Mishcon de Reya settled in early December 2016 on an improved offer of slightly over 20 per cent inclusive of costs and interest.

Following further negotiations with Messrs Herbert Smith Freehill Solicitors and RBS our Firm also concluded a Settlement on the same terms just before Christmas.

The level of the Settlement was disappointing but after extremely careful consideration it was considered that the acceptance of this offer was overwhelmingly in the interests of our Members. One of the other Action Groups (namely RBS Shareholders Action Group) represented by Signature Litigation has not settled at this stage and their current intentions are not clear to us.  However even if Signature Litigation were to continue with the Claim on behalf of their clients the financial risks for our Members would have been enormous as the potential liability for costs per Member would have been extremely high  as such liability would ultimately have to be borne by our Members and Signature Litigation clients on a pro-rata basis.

Additionally the final outcome could not have been guaranteed and there is every indication that RBS would Appeal in the event of what they considered to be an unsuccessful outcome and the timescale for a final outcome for our Members would have been very much longer.

Following the Settlement on behalf of our Members there is now to be a Verification Process as RBS require that they verify each and every Claim by our various Members. There will be a considerable amount of Administration involved at our end during this process but it is hoped that this will be concluded over a period of approximately two months.

Details of any further developments will be posted up on our Website and ultimately all Members when receiving payment will also receive a detailed explanation from Leon Kaye Solicitors.

Please note that we are unable to deal with telephone or email enquires in the intervening period, as the time involved could be detrimental to the conclusion of the verification process. But we assure you that we will be working hard to bring this to a speedy conclusion.

11th October 2016

A short hearing took place on 8th September 2016 before Chief Master Marsh which considered any outstanding disclosure issues however the original date for the 11th CMC (11th – 14th September 2016) was vacated and rescheduled for 11th October 2016.

The 11th CMC took place on 11th October 2016 at the Rolls Building of the Royal Courts of Justice. Chief Master Marsh and Mr Justice Hildyard heard submissions from Counsel representing both the Claimant groups and RBS on any outstanding procedural directions and general timetabling leading up to the Trial listed for March 2017. The parties have now exchanged witness and expert evidence with each document running into hundreds of pages.

Further, Mr Justice Hildyard made a noteworthy comment on the issue of costs. We have set out some of the relevant extracts from his comments below:-

‘In any exceptionally high value case such as this, but particularly where the state and thus the taxpayer has an interest by virtue of a sizeable shareholding in one of the principal parties, the issue of cost is bound to attract public and press interest. Where the costs are the award of 100 million on that party’s side alone, that interest and concern is obviously and considerably heightened and exacerbated, even though it should be noted that those costs, even in that amount, represent about 2% of the alleged claim against that party. It is not the habit of this court to respond to newspaper or other commentary on a case proceeding before it, however understandable the interest or great the concern. However, a newspaper report on 29th September has come to my attention which I consider requires some clarification of the position as regards costs in this case. In particular, it seems to me to be important to be clear as to the boundaries of the court’s powers in this regard and as to what the position thus far has been in terms of their exercise.

First, it is not at this stage the court’s role, nor within its remit, to prescribe or cap the costs for which a party becomes liable to pay its own advisers. That is a matter for the client. In the case of RBS, it is a matter between the advisers and the RBS board of directors, who, of course, will take into account and comply with their fiduciary and other duties in that context. The court does however have control over whether any, and, if so, what proportion of these costs are recoverable by one party against another…’

‘…It is right to acknowledge that these reports have disclosed and continue to disclose aggregate incurred costs far higher than had been anticipated by the parties. That is, as I have said, an understandable course cause for concern and interest. However, it is also important to be clear, first, that the court notes but has at no stage given any approval to the costs incurred by any of the parties. Secondly, and contrary to the newspaper report to which I have referred, the court has made no award of costs except for an order for a relatively minor sum of £20,000 to be paid to RBS by some of the claimants for the cost of a small and discrete part of a hearing, in fact in relation to the application for the cost management rrect an apparent misconception in the same article, the costs reported by RBS relate to all the proceedings and the defenorder. Thirdly, it also follows that both the question of which party or parties will be ordered to pay the costs of these proceedings at the end of the day is still at large and ultimately in the court’s judicial discretion. Fourthly, any order for payment of costs will entail detailed scrutiny of the costs particularly by the paying party and, if necessary, by the court and in the ordinary case will be reduced if and insofar as the costs are disproportionate or unreasonable. Lastly, and again to coce of RBS as a corporate entity and not just that part relating to the claim against the directors personally.’

In light of the proximity of the Trial commencing in March 2017, a number of interim hearings have been listed to address any issues which may arise in the meantime. The interim hearings have provisionally been listed for 7th November and 21st November 2016 and the Pre-Trial Review has now been fixed to commence on 19th December 2016. The purpose of the Pre-Trial Review is for the Court to ensure that all parties have complied with all previous Court orders and directions to allow the case to be Trial ready for March 2017.

We remain firmly committed to the Claim and a further update will be posted shortly after the Pre-Trial Review on 19 December 2016.

20th July 2016

The parties were broadly in agreement as regard to expert evidence and therefore only required a short hearing  on 20 July 2016 before Mr Justice Hildyard. Mr Justice Hildyard was pleased with the progress made between the parties and ruled on a nominal number of points which remained outstanding.

The 11th Case Management Conference has now been listed for 14 -16 September 2016 and a further update will be placed shortly thereafter.

15th July 2016

As foreshadowed in our previous updates, Trial is listed to commence in March 2017. To ensure that our Group Register is up-to-date, we invite all members to contact this firm (in writing via email on info@leonkaye.co.uk, or by post) in the event that any RBS shares have been sold since becoming a member of the Leon Kaye Action Group.

We remain firmly committed to the Claim and a further update will be posted shortly after the hearing taking place on 20 / 21 July 2016.


5th July 2016

We are pleased to confirm that the parties were able to agree all outstanding issues surrounding disclosure prior to the hearing on 5th July 2016. As such, a short hearing took place on 5th July 2016, where Chief Master Marsh reviewed and approved the terms agreed between the parties.

As regard to the hearing before Mr Justice Hildyard to deal with expert related issues, this has now been fixed for 20 / 21 July 2016, and we will ensure to provide a further update thereafter.


14th and 16th June 2016

The 10th Case Management Conference (the ‘10th CMC’) took place on 14th and 16th June 2016 at the Rolls Building of the Royal Courts of Justice. Chief Master Marsh and Mr Justice Hildyard heard submissions from Counsel representing both the Claimant groups and RBS on the outstanding procedural directions and general timetabling leading up to the Trial listed for March 2017.

In light of the issues discussed at the 10th CMC, the following interim hearings have, or are to be listed:-

Hearing before Chief Master Marsh on 5 July 2016, to deal with any outstanding disclosure issues;

Hearing before Mr Justice Hildyard in mid/late July 2016 to deal with expert related issues; and

11th Case Management Conference before Mr Justice Hildyard and Chief Master Marsh in September 2016 to be listed with a time estimate of 2 – 3 days.

We remain firmly committed to the Claim and confirm that all necessary funding arrangements remain in place. We will, as we have in the past, ensure to keep you abreast with substantive developments in the case.


10th December 2015

The Court has now release the reserved Judgment of Mr Justice Hildyard in relation to RBS’ application to adjourn the Trial date from December 2016 to March 2017.

Within that Judgment Mr Justice Hildyard explains that it was evident to the Court that RBS’ failure to adequately deal with the mammoth task of reviewing approximately 25 million documents, had subsequently led to them falling behind with the Court directions leading up to the Trial which had provisionally been listed for December 2016.

Notwithstanding the Claimants’ objections, the Judgment concluded: “Despite my great reluctance to do so, there is a sufficient risk of unfairness to the defendants that I should grant a relatively short (and in all ordinary circumstances final) adjournment.”

In the meantime, we confirm that a short CMC took place on the morning of 8 December 2015, where Chief Master Marsh and Mr Justice Hildyard heard brief submissions from Counsel representing both the Claimant groups and RBS on the numerous procedural directions being dealt with by the parties in preparation for Trial.

We remain firmly committed to the Claim and confirm that all necessary funding arrangements remain in place. The 10th Case Management Conference has been provisionally listed for April 2016 and we will ensure to post a further update thereafter.

5th, 6th & 7th October 2015

On 5th, 6th & 7th October 2015, the Rolls Building of the Royal Courts of Justice heard the 8th Case Management Conference (the ‘8th CMC’) on the RBS Rights Issue Litigation. Chief Master Marsh and Mr Justice Hildyard again heard submissions from Counsel representing both the Claimant groups and RBS on the numerous procedural directions being dealt with by the parties in preparation for Trial.

Shortly before the 8th CMC, RBS filed an application to adjourn the Trial which had provisionally been listed to commence during December 2016. This application was contested by the Claimant Groups, and the Court heard submission from all parties on this point. The Court has reserved Judgment on the application and the outcome will be relayed to the parties imminently.

RBS’ most recent costs estimate which was filed with the Court prior to the 8th CMC indicate that their legal fees are likely to reach £90 million. Their previous estimate of defending the case was approximately £40 million. Although costs were not discussed at length at the 8th CMC, we have no doubt that the Court will carry out a full assessment of the said costs in due course.

We remain firmly committed to the Claim and confirm that all necessary funding arrangements remain in place. The 9th Case Management Conference has been listed for December 2015 and we will ensure to post a further update thereafter.

28 & 29 July 2015

On 28 and 29 July 2015, the Rolls Building of the Royal Courts of Justice heard the 7th Case Management Conference on the RBS Rights Issue Litigation. Chief Master Marsh and Mr Justice Hildyard again heard submissions from Counsel representing both the Claimant groups and RBS on the numerous procedural directions being dealt with by the parties in preparation for Trial.

Issues surrounding disclosure have now been resolved and a final deadline of September 2015 has been given to the RBS to produce any outstanding documentation. The parties are now concentrating their efforts to address the procedural directions relating to witness and expert evidence.

In the meantime, we are pleased to confirm that the Trial has provisionally been listed to commence during December 2016 and is expected to last 7 months. The 8th Case Management Conference has been listed for October 2015 and we will ensure to post a further update thereafter.

We remain firmly committed to the Claim and confirm that all necessary funding arrangements remain in place.

20 July 2015

The 7th Case Management Conference is due to take place between 28th – 30th of this month at the Rolls Building of the Royal Courts of Justice. A further update will be posted shortly thereafter.

23 March 2015

On 17 March 2015, the 6th Case Management Conference took place at the Rolls Building of the Royal Courts of Justice. Chief Master Marsh and Mr Justice Hildyard heard submissions from Counsel representing both the Claimant groups and RBS on issues such as Disclosure (millions of documents are being disclosed and reviewed in this process) and other procedural directions.

We are pleased to confirm that the Court is making great progress in advancing a dispute of this complexity through the litigation process. A Case Management Conference has now been listed for July 2015 to further assess the complex and time-consuming Disclosure exercise currently engage by all parties.

We remain firmly committed to the Claim and confirm that all necessary funding arrangements remain in place.

We will post a further update following the conclusion of the next Case Management Conference taking place during July 2015.

9th February 2015

This is a further Update following on from our previous Update of 24th November 2014.

There was a Court Hearing (to be more precise a Case Management Conference) shortly before last Christmas spread over 3 days.

The purpose of this Case Management Conference attended by Legal Representatives of all parties and also attended by the Press was to update the Procedural Directions required by the Court to govern the onward progress of the Court Action.

There are many complex issues to be dealt with on both sides and very extensive amounts of documentation have been produced in relation to the Proceedings by way of Disclosure of relevant documents and also Pleadings (further defining of the Claim and the Defence).  This is a lengthy ongoing process and a further Case Management Conference has now been fixed for 17th March with a Time Estimate of 2 to 3 days.  As before this will take place before the Judge who will ultimately be hearing the Claim and in the presence of Legal Representatives.

It is our wish to obtain the earliest possible Trial Date but there is still a great deal to be done on both sides and no firm estimate of a Trial Date can be given yet.

By way of re-assurance we remain as firmly committed to the Claim as ever and all necessary Funding arrangements remain in place.

We will post up a further update following the conclusion of the next Case Management Conference commencing 17th March.”

 

24 November 2014

This is a further update in relation to the current status of the Court Proceedings.

There is a further Court Hearing in the second half of December just prior to Christmas when important Procedural Directions will be made by the Court in relation to the future conduct of the Proceedings.

There has been a considerable amount of correspondence in relation to Disclosure of relevant documents and other matters and if any member of our Action Group has any specific documentation which might be of assistance to our Case we would be interested to hear from you.

We will be reporting to members of the Action Group following the before mentioned Court Hearing which it is emphasized is only for Procedural Directions.  The Trial Date is still some considerable way off but we might have some further indications following the Court Hearing next month.

 

5th November 2014

A further Case Management Conference (the 4th Case Management Conference) took place in the High Court last Thursday 3rd July.

Your Action Group (The RBS Rights Issue Action Group) was represented in court by the Barrister who has represented the Action Group throughout and additionally Leon Kaye of this firm and another member of this firm were also in attendance.

The other Action Groups were also represented in court.

Various procedural directions were agreed at court and with a view to moving the claims forward as soon as possible.

Provisionally a 5th Case Management Conference has been arranged for December of this year and it could be that an indication as to the Trial Date will be available at that time.

We shall post up any further important developments in due course.

 

6th June 2014

Court proceedings have been issued on behalf of approximately 4000 members of the RBS Rights Issue Action Group to a value of over £22 million.  Such proceedings were issued in three separate tranches between the 28th April 2014 and 30th May 2014.

The total value of all proceedings issued (largely on behalf of major Pension Funds and Institutions) by three other Action Groups is approximately £3.1 billion.

We thank all members of the RBS Rights Issue Action Group for their assistance and support throughout.

 

14 May 2014

NOTICE TO ALL MEMBERS OF THE RBS RIGHTS ISSUE ACTION GROUP WHO HAVE INSTRUCTED LEON KAYE SOLICITORS

On 14 May 2014, we issued a second set of proceedings in respect of this matter, taking the Action Group to a total of approximately 4,000 members.  These shareholders represent 11 million rights issue shares.

For those members who have already instructed us and acquired rights issues shares in the aftermarket.   If you acquired rights issue shares in the aftermarket (i.e. after 6 June 2008), we require some additional information from you.  This additional information has been requested by the Court and therefore we do need to hear from you as a matter of urgency.  Please click here to download the form and follow the instructions accordingly.

6 May 2014

May we remind you that it is imperative that you comply with both stages 1 and 2 of the process by 9th May 2014 in order to join the RBS Rights Issue Group and be included in the issuing of court proceedings.    If we do not receive the forms (set out at stage 1 and 2) by 9th May 2014 you will lose all entitlement to issue proceedings with the RBS Rights Issue Action Group.  Any applications in respect stages 1 and 2 received after the 9th May 2014 will not be accepted .

28 April 2014

Court proceedings have today been issued on behalf of over 3,500 members of the RBS Rights Issue Action Group.

Further court proceedings will be issued over the next two weeks up to Friday 9th May 2014 on behalf of a further significant number of investors.

Accordingly, if you have not yet given instructions to us to issue proceedings please bear in mind the deadline of Friday 9th May 2014 and we need to hear from you as soon as possible.

22 April 2014

The RBS Right Issue Action Group would like to remind all current and prospective members that the deadline for issuing a claim against RBS in relation to the Rights Issue of May – June 2008 is fast approaching.

The closing date to join the Action Group is 30 April 2014. The Action Group regrets that it will not be able to admit late joiners beyond this date. Given this timetable, the Action Group urges all those who are considering joining to register their details as soon as possible.

28th March 2014

Many of our existing RBS Rights Issue Action Group members and prospective members are enquiring as to whether they will lose the right to issue proceedings if they do not respond to us by 27 March 2014.  We can put all members minds at rest in this respect.

We have had an enormous positive response already from our members and prospective members instructing us to issue court proceedings and we propose to issue proceedings shortly and ideally by approximately mid-May 2014 at the latest.

The reason for the proposed cut off date of 27th March 2014 was to allow sufficient time between now and that date to finalise the issue of court proceedings.  However, it has come to our attention that various members and prospective members have been abroad or busy for other reasons.  All such existing RBS Rights Issue Action Group members and prospective members will be entitled to join in our proposed proceedings but we will have to reconsidered the position and therefore we have wish to clarify that we will hold the deadline for joining the Action or instructing us and we have further extended the deadline for joining the RBS Rights Issue Action Group until 30th April 2014 in view of the overwhelming interest.

26th February 2014

Please refer to our information sheet on the proposed court action against the Royal Bank of Scotland

7th February 2014

We intend to be in a position to issue Proceedings on behalf of our Members – currently comprising of thousands of members within the limitation time limit which expires between mid May and early June 2014.

We hope to achieve a close to 100% take up from our Members by approximately 15th April 2014 with a view to making final arrangements.

Full details are being sent out to all members of the Action Group and in view of the recent Court Ruling on 19th December 2013 as referred to in our previous news update of 20th December 2013 the protection which will be provided to our Members is very significant in limiting the risks to our Members.

You are also invited to read the recent Press coverage in relation to the RBS Rights Issue Action Group and the most recent of which are Articles in The Times dated 13th January 2014 and in The Scotsman also on 13th January 2014.

There will be further regular updates.

17th September 2013

At a preliminary hearing at London’s High Court on 17th September 2013, before Mr Justice Hildyard, Michael Lazarus, legal counsel for the RBS Rights Issue Action Group, representing about 8,200 RBS shareholders, pressed the court for as early a meeting on costs as possible because many small shareholders needed to know whether they could afford to take up the legal action.

The judge said in setting the cut-off date for people to join actions he did not want to exclude people prematurely “but I must not put a brake on the existing claimants”.

The judge said he was still “minded” that all actions would be heard under a Group Litigation Order (GLO), suggesting any new and prospective claims would be heard at the same time.

Mr Justice Hildyard laid down a timetable for the court action, including a hearing to discuss how costs will be allocated among the various parties around 12 November, and RBS to have its defence lodged by 29 November.

The judge said there would be a third case management hearing held in January 2014 to mop up any issues, and confirmed his earlier guidance that the cut-off date for more people to join in the legal actions would be 15 April 2014.

31st July 2013

A Case Management Conference took place in the Chancery Division of the High Court, on Tuesday 30th July 2013 before Mr Justice Hildyard.

The Case Management Conference was attended by legal representatives of the various Action Groups including the Action Group known as the “RBS Rights Issue Action Group” consisting of 8,100 members represented by Leon Kaye Solicitors.

At the hearing yesterday, Tuesday 30th July 2013, the court made what is known as a Group Litigation Order to regulate the future conduct of all litigation by the various Action Groups, including the “RBS Rights Issue Action Group” represented by Leon Kaye Solicitors.

20th June 2013

Further to our update of 7th June the current position is that all parties are seeking a Case Management Conference to be heard on 30th July 2013 subject to the availability of a Judge to hear the Application.  Our Firm will be represented at the Hearing of the case Management Counsel and Counsel has been instructed on behalf of Leon Kaye Solicitors.  For the avoidance of doubt it is confirmed again that there will be no costs order against the members of our Action Group in relation to this Case Management Conference.

Further updates will be provided as and when appropriate.

 

7th June 2013

We have been in recent correspondence with Messrs. Herbert Smith Freehills Solicitors, who represent the Royal Bank of Scotland and the Individual Directors who are likely to be party to court proceedings.

Messrs. Herbert Smith are submitting an Application to the High Court Chancery Division for what is known as a Case Management Conference.

The purpose of the proposed Case Management Conference is with a view to the Court making appropriate directions for the future disposal of Court proceedings, to take account of the existing proceedings which have already been issued, together with our proposed Court proceedings.

The intention is that Herbert Smith might be seeking what is known as a Group Litigation Order whereby existing proceedings brought on behalf of 21 Institutional Claimants and the separate proceedings brought by the RBoS Shareholder Action Group should be managed jointly with any Proceedings brought on behalf of our Action Group.

This is not our Court Application, but an Application submitted by Messrs. Herbert Smith, but our present view is that the proposed course of action is a sensible one and in the interests of our Members.   Our firm has been asked to attend the Case Management Conference on behalf of the Members of our Action Group and we emphasise that this Case Management Conference will not lead to a Costs Order against our Members in favour of RBS or the Individual Directors.

Further up-dates will be provided as and when appropriate in connection with further developments.

 

29 May 2013

Letters have been sent on behalf of the RBS Rights Issue Action Group to the following:-

We believe that investors in RBS would think that it was only right that a complaint, on their behalf, should have been made to the above organisations as, even if they get some compensation in respect of the Rights Issue, most of them will have lost far larger sums of money as a result of RBS’s activities during most of 2007 and early 2008.

We are continuing to work hard in relation to necessary Litigation Funding and After the Event Insurance.

Many members of the RBS Rights Issue Action Group have enquired as to the need for three separate court actions and we are of the view that in due course it might well be that there will be some form of court imposed merger of Claims which should generate considerable cost savings.

 

18th April 2013

Following various Press Reports and other information in the Media you might be aware that a Class Action against The Royal Bank of Scotland based on the Rights Issue has been lodged with the Court on behalf of a number of large Institutional Investors.  Additionally we understand that another Court Action has been lodged with the Court on behalf of the RBoS Action Group formed shortly after ours although the membership profile of that Action Group is somewhat different to ours as they apparently represent various Institutional Shareholders in addition to ordinary shareholders whereas we entirely represent ordinary shareholders.  We are firmly committed to the interests of ordinary shareholders be they small or large.

The lodging with the Court of these 2 Class Actions can only but help our position as the facts are the same.  We are seeking to finalise the necessary funding arrangements and also arrangements for Insurance cover to protect the interests of our members and if that is in place we will then be in a position to lodge Court proceedings.

Many members have asked why we have not joined forces with the RBoS Action Group.  This we have attempted to do on numerous occasions but without success and for that reason we will be pursuing a separate Claim.

A further update will be provided at the earliest opportunity.

 

5 April 2013

You may have read recent Press Reports in relation to other Class Action, one of which has been brought by a group of Institutional Funds representing very large investors, and the other has been brought by the RBoS Action Group as referred to below which now appears to be calling itself the RBS Shareholders Group.  The latter group was set up shortly after ours at Leon Kaye Solicitors and they too have a different profile of their membership as they also represent large numbers of institutional shareholders whereas our members  are small and medium sized shareholders.  For that reason we have had difficulty in arranging funding and the necessary After the Event Insurance to protect our members against an adverse costs order following the issue of court proceedings.

We are currently having certain further meetings and in view of recent developments we are hopeful that we will be able to finalise arrangements such as to enable us to move forward and issue a Claim on behalf of our members.

We will update you on this Website when we have further news

 

22nd October, 2012

We continue to move forward with a view to a potential Court Action unless we are able to obtain satisfactory settlement.  Before we can finalise such arrangements we do need to have in place appropriate After The Event Insurance to protect the interests of all members of the Action Group and additionally we will need to secure outside funding.  In view of the present economic climate this is proving a little more challenging than had been hoped at the outset!  We do not however propose to approach members of our Action Group for any further funding in advance.

We must also draw your attention to another Action Group known as the RBoS Action Group which has no connection with our Action Group although we have tried on many occasions to join forces with them.  Unfortunately and somewhat confusingly they have now changed their logo on their stationery and also letter headings describing themselves as RBS Shareholder Action Group.  We dis-associate ourselves with the activities of this other Action Group at this stage.

 

6th February 2012

Leon Kaye Solicitors have recently brought to the attention of the lawyers acting for the Royal Bank of Scotland and the relevant directors various Press Reports indicating a bonus pool for Investment Bankers of at least £500 Million and perhaps a great deal more according to certain Press Reports.

We have pointed out that the members of our Action Group consisting of several thousand members have on current figures lost approximately 85% of their Investment in the 2008 Rights Issue. We have asked for some clarification as to how it is considered appropriate to have such a large bonus pot given that total losses incurred by all subscribers to the Rights Issue based on the current share valuation total over £9 Billion.

 

17th January 2012 FSA REPORT

Following the FSA Report into the collapse of the Royal Bank of Scotland released in December 2011. Leon Kaye Solicitors have had a huge amount of interest from shareholders and the media and we are seeking to press forward on behalf of over 8,000 people for whom we act with their claim for compensation.

 

19th December 2011

Following the publication of the FSA Report into the circumstances surrounding the collapse of RBS and published on Monday morning 12th December there have been the following further developments:-

1. Leon Kaye, Senior Partner at Leon Kaye Solicitors has given various radio and also a television interview and you may listen to two of the radio interviews (below).

2. We have given further Press interviews and we are doing all that we can to generate additional publicity in relation to our proposed claim for damages.

3. We have separately written to the solicitors acting for RBS and the relevant directors putting to them a number of relevant questions and with a view to moving the Claim forward.

4. We are currently considering an additional Claim pursuant to the provisions of the Companies Act 2006.

5. We are also considering taking certain further procedural steps with a view to obtaining more precise information from the solicitors acting for RBS and its relevant Directors. Huge publicity has already been generated and we hope in due course that the members of the Action Group will obtain compensation.

Leon Kaye Solicitors are able to offer expert legal advice on: Banking and Finance Litigation; Commercial Fraud; Asset / Debt Recovery; Sale and Supply of goods and services; Landlord and Tenant; Bankruptcy and insolvency; Property Disputes; Construction Disputes; Professional Negligence and Class Actions.

5 January 2017

 

 

As many of our Members might be aware from various Press Reports four out of the five Claimant Groups (including our Group namely the RBS Rights Issue Action Group) have settled their Claims.

 

The background to this is that a Mediation discussion took place over a period of two days at The Grove Hotel in Hertfordshire in July 2016 and the appointed Mediators were leading Mediators from the United States and New Zealand. Ultimately however the Mediators were unable to conclude a settlement as the terms proposed by Messrs Herbert Smith Freehill Solicitors on behalf of The Royal Bank of Scotland (“RBS”) were considered to be unacceptable.

 

Ultimately following further discussions and negotiations three of the Lead Claimant Groups represented by the following Solicitors namely Quinn Emanuel, Stewarts Law and Mishcon de Reya settled in early December 2016 on an improved offer of slightly over 20 per cent inclusive of costs and interest.

 

Following further negotiations with Messrs Herbert Smith Freehill Solicitors and RBS our Firm also concluded a Settlement on the same terms just before Christmas.

 

The level of the Settlement was disappointing but after extremely careful consideration it was considered that the acceptance of this offer was overwhelmingly in the interests of our Members. One of the other Action Groups (namely RBS Shareholders Action Group) represented by Signature Litigation has not settled at this stage and their current intentions are not clear to us.  However even if Signature Litigation were to continue with the Claim on behalf of their clients the financial risks for our Members would have been enormous as the potential liability for costs per Member would have been extremely high  as such liability would ultimately have to be borne by our Members and Signature Litigation clients on a pro-rata basis.

 

Additionally the final outcome could not have been guaranteed and there is every indication that RBS would Appeal in the event of what they considered to be an unsuccessful outcome and the timescale for a final outcome for our Members would have been very much longer.

 

Following the Settlement on behalf of our Members there is now to be a Verification Process as RBS require that they verify each and every Claim by our various Members. There will be a considerable amount of Administration involved at our end during this process but it is hoped that this will be concluded over a period of approximately two months.

 

Details of any further developments will be posted up on our Website and ultimately all Members when receiving payment will also receive a detailed explanation from Leon Kaye Solicitors.

 

Please note that we are unable to deal with telephone or email enquires in the intervening period, as the time involved could be detrimental to the conclusion of the verification process. But we assure you that we will be working hard to bring this to a speedy conclusion.