12-Aug-2014
Royal Bank of Scotland said it plans to sell international operations Coutts, the unit shall be fined, helping wealthy clients dodge taxes American citizens, including Queen Elizabeth II and David Beckham, just a unit, is expected before the private banks.
State-controlled bank who told the staff said on Monday that it hopes to secure the sale, merger or joint venture of the International Coutts, which could be worth about 500 pounds, according to opponents. However, the Royal Bank of Scotland Coutts kept, which usually turn away customers with no more than part of the 100 million pounds invested in the UK.
Sale, first reported in the Financial Times last month, the Royal Bank of Scotland is part of the drive to reduce the international banking and investment banking activities, in order to adjust its domestic market. Royal Bank of Scotland also plans to float later this year in the United States National Bank, Ulster Bank and is examining options in Ireland.
Bankers said the potential risks with the entire continent of international private banking customers in Europe, Middle East and Asia too onerous lender, which is 81% owned by British taxpayers.
A cost of compliance and anti-money laundering checks required by regulatory agencies makes it harder to smaller private Swiss bank UBS and Credit Suisse likes’ competition.
In an internal memo to employees on Monday, the Royal Bank of Scotland, said: "We face a challenging path, providing 15% of our strategy, coupled with profit margins on the stock given the compressed dynamic reward programs, and in international business scale growing demand. "
Coutts is headquartered in Zurich, Switzerland, more than 100 private banks negotiations to resolve to help Americans pay fines for tax evasion charges and surrender one of their American customer information. A deal is expected to close in the next few months; the Royal Bank of Scotland is likely to be responsible for any penalties - even on sale, prior consent.
Coutts was recorded fined £ 8.75 meters, two years ago to fight money-laundering offenses, after being found to have is not enough to monitor or collect information about customers, especially those in the Middle East and Eastern Europe, important information is.
Private Banks, was founded in 1692, is now the company together with its sister brand of Adam and into the commercial lending division of Royal Bank of Scotland announced in February as part of an integrated building strategic reform.
A complication is that Coutts' UK and international business comes from running on the same IT system, which means that the latter will need to be divided out, according to people familiar with the situation. The Coutts brand is unlikely to sell any part of.
Coutts International employs 1,200 people, and in the management of the operating profit of 21.5 billion pounds of assets of approximately £ 67 m last year. Royal Bank of Scotland said it would maintain "appropriate offshore booking function" with its non-British settlers live customers.
Some Asian banks are interested in looking for business, according to a trade expert. Potential bidders are considered, including Singapore banks such as OCBC and UOB. Earlier this year, DBS Bank, the city-state's largest bank, bought dollars Asian wealth management unit of French bank Societe Generale 200 million.
Bankers said Coutts international departments may be Brazil BTG Pactual, which this month completed a SFr1.5bn (16 billion) acquisition of BSI, as the Swiss private banking business in Asia, from the Italian Generali attractive.
The sale may also attract the Royal Bank of Canada, bought two years ago Coutts' business in Latin America, the Caribbean and Africa.
By John Campbell, the Scottish Capital Corporation was founded in 1692; Coutts opened the first branch in London's Strand under the sign of the Triple Crown. The bank consists of two brothers, Thomas and James, who joined it in the mid-18th century, and established its reputation as a private banker British aristocracy and the royal family its name.
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