Following the disclosure of correspondence between the Chancellor and Treasury Permanent Secretary Nicholas Macpherson relating to RBS’ toxic loans, Liberal Democrat Shadow Chancellor, Vince Cable has written to Alistair Darling and FSA Chair Adair Turner to ask for a full independent valuation of the Asset Protection Scheme to be carried out.
He commented: “From the outset the Liberal Democrats have consistently raised concerns about the Asset Protection Scheme.
“Not only is this a massive fraud on the taxpayer but it seems that we are now underwriting some potentially illegal assets.
“The Chancellor must now order a full independent valuation of all assets in the Asset Protection Scheme. Having previously raised concerns about corporate governance at RBS and received no substantive reply from the FSA, it is now essential that the FSA review its procedures covering corporate governance."