RBS repeatedly made 'bad decisions' but FSA dismisses fraud

The FSA has cleared RBS of acting fraudulently during the purchase of ABN AMRO, but censured it for making a "series of bad decisions" in the run up to the financial crisis.

In a 20-month investigation into the bank in the wake of its taxpayer bailout in 2008, the regulator scrutinised the conduct of RBS' senior individuals, the acquisition of ABN AMRO in 2007 and the 2008 capital raisings. RBS made "a series of bad decisions" in the years immediately before the financial crisis, most significantly the acquisition of ABN AMRO and the decision to aggressively expand its investment banking business, the FSA says. However, it ruled these bad decisions were not the result of a lack of integrity by any individual, or fraudulent or dishonest activity by RBS sen...