Horta Osório will suffer cut of 12% in its fine on the bonus after … – Jornal de Negócios – Portugal

The chief executive of Lloyds will run out 477,000 euros of his bonus more than 15 million by the regulator has fined the bank by the way he managed the customer complaints regarding the sale of financial products.

António Horta Osório will run out 12% of the bonus he received in 2014. The decision was taken by Lloyds after the bank was fined 117 million pounds by the way he managed the complaints of their clients to . the sale of financial products

The fine was imposed by the British financial regulator – the Financial Conduct Authority (FCA), considering that the bank did not treat their customers fairly between 5 March 2012 and 28 May in 2013 the complaints regarding the sale by the institution of housing credit insurance (PPI, its acronym in English). At the same time, the regulator forced Lloyds to review complaints of 1.2 million customers.

“Despite our intentions are correct, we make mistakes in how we deal with PPI . I’m sorry, “said Horta Osorio this Friday, May 5, quoted by The Guardian.

The chief executive of Lloyds received a total bonus of 11.5 million pounds (15.6 million EUR) for the financial year 2014 and will now be without a slice of 350,000 pounds (477,000 euros).

This record fine was calculated based on the number of customers affected by the way the bank dealt to customer complaints regarding the sale of financial products.

The British banks have set aside 25 billion pounds to any contingency related to PPI. Lloyds, currently held at 19% by the British state after being rescued in 2008, is the bank with the largest invoice and will have to pay 12 billion pounds in compensation and fines.

“If the confidence in financial services will be restored after the deceptive sale of PPI, so customers need to have confidence that their complaints will be treated fairly, “said Georgina Philippou, Governor director.

” The size of the fine reflects the fact that many complaints were poorly managed by Lloyds. Customers who had already been treated unfairly, they came to be so treated a second time and was denied appropriate compensation. The conduct of Lloyds is unacceptable, “stressed the head of the FCA.

In anticipation of the fine, Lloyds decided in February to freeze parts of bonuses for 2012 and 2013 of its executive team. Despite the cut, the percentage of 12% which fell to Horta Osório is lower than that of other members of the executive committee that will be cut by 25% in their bonuses.

The following Lloyds falling 0.57 % to 87.00 pence on the London Stock Exchange.