RBS CEO £1 Million Bonus for Failure Should be Scrapped, Bankster Fraud on Taxpayers Continues

Politics / Credit Crisis Bailouts Jan 28, 2012 - 03:14 AM GMT

The RBS board has awarded the CEO a bonus of £1 million in addition to his £1.2 million salary for effectively being an abysmal failure on any recognisable measure.

RBS over his term has CUT lending to small business as it has continued to de-leverage its balance sheet
RBS over his term has seen its share price crash by 40%.
RBS over his term has left the tax payer sitting on an even bigger loss on its 83% stake in the bailed out bank, where the break even price is 50p against the current price of 27p.
RBS has sacked 33,000 of its workers over his term.
The tax payer is sitting on RBS liabilities of over £1 trillion, which is the same as total official public debt, thus RBS is a weapon of mass financial destruction that on its own is more than capable of bankrupting Britain.

RBS illustrates a banking industry where what amounts to legalised fraud on the tax payers is rampant courtesy of the politicians that sit in their back pockets.

Legalalised fraud perpetuated on tax payers as losses and debts are nationalised whilst fictitious tax payer funded profits are privatised and paid out as bonuses now extends to liabilities of over £4 trillion pounds, more than enough to bankrupt Britain several times over and explains why the politicians are fearful of the bankster elite where all the likes of Cameron, Osbourne, Clegg and Cable can do is to utter words of public outrage whilst doing nothing to act. Remember that the tax payer owns 83% of RBS shares so the politicians have the right and the power to act on tax payers behalf but are choosing not to because at the end of the day they ALL want a slice of the pie, a seat on a bankster board of directors so that they can also effectively get paid for doing nothing just as the bonus for the RBS CEO illustrates.

Whilst the labour leader continues to gloat and score political points, we have to remember the bank bailout structure where all of the losses are on the backs of tax payers whilst the government signed up to not yielding any power over the likes of RBS is due to Gordon Brown's Labour government incompetence or collusion in the fraud that continues to be perpetuated on tax payers.

The bankster's continue to hold the British economy to ransom which is why they continue to bank billions in bonuses on the backs of totally fictitious profits.

Action to take

Government politicians should show some common decency and outlaw the £1 million bonus.

The RBS CEO should realise that he has done little to deserve the bonus and should declare that he will forgo it. Paying a bonus for a tax payer owned FAILING bank amounts to a crime against all tax payers.

Those that bank with RBS should now realise the reason why they receive a pittance in interest on savings is because funds are being funneled into the back pockets of the bankster elite by mechanisms such as £1 million bonuses in addition to large salaries. So if you are an RBS customer then show your outrage by contemplating withdrawing your money and changing your bank otherwise you will continue to be laughed at as a sucker that funds the lifestyle of the bankster's elite whilst having your wealth stolen from you as a consequence of an inflation rate of 5% (RPI) against an interest rate of 1% (RBS Direct Saver).

Source and Comments: http://www.marketoracle.co.uk/Article32857.html

By Nadeem Walayat

http://www.marketoracle.co.uk

Nadeem Walayat has over 25 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of three ebook's - The Inflation Mega-Trend; The Interest Rate Mega-Trend and The Stocks Stealth Bull Market Update 2011 that can be downloaded for Free.

Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication that presents in-depth analysis from over 600 experienced analysts on a range of views of the probable direction of the financial markets, thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Nadeem Walayat Archive

Comments

truthhurtsss
30 Jan 12, 02:58

Bonus is a reward for performance!!???

"Bonus is a reward for performance" so says these banksters! Yes, that used to be the case. But with these current and forseeable future bunch of banksters? What a joke. Borrow free or almost free money of 1% from the Central Banks, turn around and lay the money off lending it to Sovereign Countries(by buying their sovereign debts) at 5%, 8%, 20% or whatever high rates with no risk(what with the ECB indirectly backstopping them!) at all. With obscene spreads(the difference between the lent rate and the borrowed rate)like these, how can there be no "performance". Leverage up the borrowings from the Central banks and arbitrage the obscene spread with tens or hundreds of billions of dollars, Euros or pounds and soon any perceived performance WILL be impressive.

Put a monkey on the wheel and even it can show the same or maybe even better performance. These banksters have no shame. They think everyone out on Main Street are ignorant fools(think "We are doing god's work" - Lloyd Blankfein) and they try to pull wools over Main Street's eyes with all these fanciful jutifications. Some of these banksters need to be in jail but unfortunately with the con-currently bunch of self-serving political office-bearers(in every of the industrialised countries) at the helm, this is has not happened at all. Instead these banksters are rewarded and implicitly told "they need not and must not go down with the ship they have sunk".

Spare a minute to read the following:

http://www.marketoracle.co.uk/Article32838.html

truthhurtsss
30 Jan 12, 21:36

Banks set to double crisis loans from ECB!!

This just came hot from the press at ft.com! I swear I did not make this up:

"Banks set to double crisis loans from ECB

By Patrick Jenkins and David Oakley in London and Ralph Atkins in Frankfurt

European banks are preparing to tap the European Central Bank’s emergency funding scheme for up to twice as much as the ECB supplied in its debut €489bn auction last month, providing further evidence of the sector’s liquidity squeeze."

And no, it is not a liquidity squeeze! There is already too much liquidity sloshing around. The banksters are trying to pull wools over the layman's eyes with yet another of their dishonest justification. They need to leverage up their borrowings so that they can "make" more "profits", and make it faster, in order to try to get out of their insolvent state. Nearly every one of the major banks out there(including the U.S. ones) are technically insolvent.

Jim
21 Feb 12, 03:24

Markets

Nadeem,

It has been a while since you last posted.

Where do you think we are with the markets currently? Have you completed your analysis yet?

Best

Jim

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