The government had “day-to-day” involvement and “strategic” control over the treatment of companies in the hands of Royal Bank of Scotland’s scandal-hit restructuring division, according to allegations in a legal claim against the bank.
Court papers reveal that Oliver Morley, a wealthy property developer who is suing RBS, is also considering taking legal action against the Treasury over its alleged role in influencing the aggressive tactics employed against businesses by the bank’s Global Restructuring Group (GRG).
Morley claims that GRG placed him under “economic duress” which resulted in the acquisition of some of his assets by the bank’s property division, West Register, in 2010.
