FCA grilled for approving 'financial illiterate' to chair Co-op Bank

The Financial Conduct Authority (FCA) has been grilled by MPs over its decision to approve the appointment of Paul Flowers to chair the Co-operative bank back in 2010.

At a hearing today, the Treasury Select Committee questioned the regulator's decision to approve Flowers' role at the lender, which was rescued last year after running up a £1.5bn capital shortfall. Treasury Select Committee chairman Andrew Tyrie (pictured) said the regulator's decision to put a "financial illiterate" in charge of its board was a "negligent decision, a very poor decision", according to Reuters. However, Clive Adamson, director of supervision at the FCA, defended the move. "I do not think it was a mistake in terms of the decision I made at the time," Adamson said. ...