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Are you a victim of the HBOS Reading banking scandal? We can help now.

Are you a victim of the HBOS Reading banking scandal? We can help now.

It remains one of the biggest banking frauds in UK history perpetrated by an ‘utterly corrupt bank manager’ and if you were affected, now is the time for action.

Specialist lawyer, James Taylor, an expert in Financial Services Disputes, is qualified to help you and is experienced in handling the Foskett Panel Halifax Bank of Scotland (HBOS) fraud fixed compensation offers or assisting to assess consequential losses where those exceed the fixed compensation offer.

Lloyds Banking Group, of which HBOS is now part, has set aside almost £800 million for costs related to the scandal and it is important to investigate as soon as possible whether you have a claim.

What happened in the HBOS Reading bank scandal?

HBOS’s Reading branch was involved in a major fraud in the early 2000s when hundreds of small business owners were left ‘cheated, defeated and penniless’ by the fraudulent actions of bank manager, Lynden Scourfield.

Scourfield and colleague Mark Dobson, both directors in HBOS’ Impaired Assets Division, were jailed in 2017 along with directors of Quayside Corporate Services, for causing loses estimated to be in excess of £1 billion.

The fraud left countless viable but vulnerable business customers supposedly in their care with life changing financial losses.

It took several forms including imposing turnaround consultants Quayside, which then charged exorbitant and made-up fees, abusing overdraft facilities and using vile and unprofessional bullying tactics.

What compensation packages are on offer?

In 2020, Sir David Foskett, a retired High Court judge, was appointed to recommend remedies to deficiencies in the original compensation scheme run by Lloyds Bank and reassess the direct and consequential losses to victims.

The review was the third to be set up following the end of the criminal trial and 15 years after the victims were initially defrauded.

It came after the second review found that the first review, which involved more than 1900 victims, had been unsatisfactory with ‘serious shortcomings’ and to examine the extent to which Lloyds itself may have covered up the Reading scandal since acquiring HBOS.

If your business was a victim of HBOS fraud, you may be able to have your complaint reassessed.

If you are again classified as a victim of the scandal and deemed eligible, you will be given the option to take a £3 million compensation lump sum in exchange for settling your claim instead of waiting to complete a formal review process.

How do I make a claim to the Foskett Panel?

James Taylor can advise you on how the Panel reaches a decision, draft a submission to the Panel, seek settlement discussions with the Panel and challenge Adverse Victim Status Decisions.

Taking legal advice can often be a required element of accepting any settlement proposed by the review to the shareholders or directors of a company which was a victim of the HBOS Impaired Assets Unit based at Reading and Bishopsgate.

Prompt action is vital as legal time limits apply. It may be possible to protect your legal rights by instructing us to apply for negotiated standstill agreement or protective legal proceedings.

Get in touch

If you have been the victim of the HBOS banking and want help to pursue compensation, please contact James Taylor, a specialist lawyer dealing with Financial Services Disputes.

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