Lloyds Bank claws back directors' bonuses due to PPI scandal
Lloyds Banking Group is to strip five directors of their bonuses, totalling over £1m, as a penalty for their role in the payment protection insurance (PPI) mis-selling scandal, the Daily Telegraph has reported.
According to the newspaper, Eric Daniels, Lloyds’ former chief executive, will lose at least £360,000 of his 2010 bonus, and four other current and former directors will each forgo about £250,000.
Sources told the Telegraph the former directors were “furious” with the decision as they had operated within the rules at the time, while others speculated that the move was designed to detract from this week’s poor results.
Lloyds is expected to announce a loss of almost £4bn this Friday as a result
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