DUBLIN: The Irish Central Bank has fined Royal Bank of Scotland’s Irish unit ¤2m ($2.5m) for violating liquidity and capital rules, in the latest regulatory blow to the nationalised British bank.
RBS is already under investigation by US and UK authorities over the Libor interest rate rigging scandal and for possible breaches of US economic sanctions against Iran.
The Central Bank said RBS subsidiary Ulster Bank reported a capital shortfall in March last year of ¤313m. The firm immediately received a capital injection from RBS to rectify the shortfall.
Ulster Bank lacked sound strategies and processes to assess its capital levels during the period of the violations, between January 26 and September 13, 2011, the central bank said.
Reuters
