Lloyds chief in HBOS fraud review row

Load Error The new compensation scheme is being launched after an independent review by Sir Ross Cranston, a retired High Court judge, found in December that Lloyds’ original response to the £245m HBOS Reading scandal was “neither fair nor reasonable”. The revelation threatens to undermine Lloyds’ fresh compensation scheme for victims of the scandal in which crooked bank officials destroyed businesses before the last financial crisis and spent theirgains on holidays and prostitutes. Paul Pascoe, a former business partner of Noel Edmonds, the TV presenter who was a high profile victim of the HBOS scandal, said that Mr Horta-Osório had refused to fix the problem or to ask Sir Ross whether it was the result of anoversight in his review. The bank has declined his offer to become involved.” Former customers who accepted compensation under the original scheme – known as the Griggs review – agreed as part of their settlements to waive any legal claims against Lloyds.