Recovered $1 billion for investors – one of the largest securities fraud settlements in UK history
Plaintiff(s)
Institutional investors who purchased shares in the Royal Bank of Scotland’s 2008 Rights Offering
Case type / claims
Securities fraud claims alleging that RBS’s 2008 €12 billion Rights Offering prospectus contained material misrepresentations and omissions regarding its subprime-related exposures, credit market risks and goodwill valuation tied to the ABN Amro acquisition.
Defendant(s)
Royal Bank of Scotland Group plc
Jurisdiction
High Court of Justice, London (United Kingdom)
Year:
2016
Outcome
- Secured a $1 billion settlement for investors.
- Achieved recovery in a jurisdiction known for steep barriers to large-scale plaintiff-side securities litigation.
- Delivered compensation to investors who had lost nearly the entire value of their investment when RBS collapsed just months after the Rights Offering.
