Former boss of Gupta-linked Wyelands Bank fined £120,000
The Bank of England had previously rapped Wyelands for having too much exposure to Liberty Steel owner Sanjeev Gupta’s business empire.
The former boss of a bank linked to steel magnate Sanjeev Gupta has been fined close to £120,000 for not managing the troubled bank’s exposure properly.
The Bank of England said that former Wyelands Bank chief executive Iain Mark Hunter would pay £118,808 and promised not to do certain jobs in the future.
It comes close to a year after the Bank’s Prudential Regulation Authority (PRA) said that it would have fined the lender £8.5 million if it was not already winding down.
It did not have proper strategies in place to manage this risk or to mitigate potential conflicts of interest, the Bank said.
The PRA said that Mr Hunter had “failed both to act with due skill, care and diligence and to take reasonable steps” to ensure that Wyelands had proper systems in place to manage its exposure to certain customers.
In 2020, the Financial Times claimed that Wyelands had channelled some of its depositors’ money into Mr Gupta’s business empire using a network of companies controlled by his business associates.
Greensill Capital, the now collapsed lender, which at one point employed former Prime Minister David Cameron as an adviser, was one of the biggest backers of GFG Alliance companies.
The GFG Alliance declined to comment.
