Lloyds slammed after failing to compensate victims of the HBOS fraud scandal
Lloyds has been slammed over its treatment of victims caught up in a massive bank fraud.
The lender has been criticised for failing entrepreneurs whose livelihoods were destroyed by corrupt staff in the Reading branch of HBOS, which was later bought by Lloyds.
MPs on the All-party Group For Fair Business Banking said victims are not being offered enough and accused Lloyds of dragging its feet.
Lloyds has been criticised for failing entrepreneurs whose livelihoods were destroyed by corrupt staff in the Reading branch of HBOS
In a letter to its chairman, Lord Blackwell, Tory MP Kevin Hollinrake said: ‘The offers being made are in no way consistent with the losses experienced, or reflect the damages incurred by those business people whose life’s work has been torn from them.’
Hollinrake has written to Financial Conduct Authority boss Andrew Bailey with the same concerns.
A Lloyds spokesman said: ‘The customer compensation review was set up to deliver swift and fair compensation.
‘It considers any losses customers have suffered and also the distress and inconvenience that they experienced from their first dealings with those convicted of criminal offences, and since.’
Lloyds added that all final decisions are made by independent business expert Russel Griggs.