Sir Fred Goodwin refuses, again, to give back his pension

Sir Philip Hampton, Chairman of Royal Bank of Scotland, said in an interview before the bank's annual general meeting on Friday (3/4/09) that "two of the largest firms of lawyers in the City of London (are) looking at the arrangements for Fred Goodwin's pension... we will leave no stone unturned in examining whether there are any opportunities to recover elements of that pension."

He also revealed that he had spoken to Sir Fred and had asked him to make a "voluntary reduction" in his pension. Goodwin, who was RBS chief executive when it made the biggest loss in British corporate history and had to be rescued by the UK taxpayer, left with a £703,000 p.a. pension and a £2.7m tax-free lump sum. It then emerged that the RBS board who awarded the pension was not obliged to do so.

Sources close to Goodwin insist that although he discussed the matter with Sir Philip 10 days ago, they had failed to reach agreement and Sir Fred now considers the matter closed.

Cornelius Cagney, who attended the AGM in Edinburgh, said: "He was in a position of power and it's greed – naked greed. They don't care about the ordinary person, you can say what you like, they don't even think about it."

Since public interest in his pension arose Sir Fred has been camera shy. A picture of him - ideally enjoying himself on a beach - would be worth some £30,000 to the paparazzi who took it. Rumours abound that Sir Fred has been hiding in the house of Sir Jackie Stewart, the former F1 racing driver, on the shores of Lake Geneva in Switzerland.

Stewart is paid £1 million a year as a 'global ambassador' for RBS, a deal brokered by Sir Fred before his disgrace

Sir Fred Goodwin: knighted for 'services to the banking industry'

(07/04/09)