Mortgage News
Ex-B&B finance director hit with £30k fine for conduct failings
The Financial Conduct Authority (FCA) has fined Christopher Willford, the former finance director of Bradford & Bingley (B&B) £30,000 for failing to provide the board with up-to-date information about B&B’s financial position, including profits, mortgage arrears and re-possessions, ahead of its 2008 rights issue.
Willford received information that suggested that B&B’s financial outlook might be weaker than expected on 16 May 2008 and he failed to raise that with the board to ensure information provided to shareholders about the rights issue on 19 May was correct.
FCA director of financial crime and enforcement Tracey McDermott said: “Willford failed to identify and investigate potentially material risks, or alert the board, at a crucial time for the firm.
“His conduct fell short of the FCA’s standards – senior managers should expect the FCA to take action if they fail to show due skill, care and diligence.”
Bradford and Bingley was nationalised in 2008 by then Prime Minister Gordon Brown and Chancellor Alistair Darling.
Disgruntled shareholder-debate has centred on the Labour government’s refusal to release documents on how and why the decision was taken given the very different part-nationalisation of HBOS and Northern Rock subsequently.
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