LONDON, Oct 27 (Reuters) - Britain's Co-operative Bank appointed Dennis Holt as chairman on Monday as thelender looks to move on from its near collapse last year and adrugs scandal involving former chairman Paul Flowers.
Holt, who joined the board in February as senior independentdirector and has been acting as interim chairman since Oct 1,brings with him 43 years of experience in the banking andinsurance industry.
"I am delighted that Dennis Holt has been appointed to chairthe Board of the Bank," Niall Booker, chief executive officer ofCo-op Bank, said in a statement.
"His involvement in a wide range of challenging marketenvironments will serve the Bank well as we continue to restoretrust in our brand and focus on building a credible, efficientand differentiated alternative for customers."
The bank was left fighting for its survival after a 1.5billion pound ($2.5 billion) capital shortfall was exposed inJune last year following a failed bid to buy hundreds ofbranches from Lloyds Banking Group.
It was rescued when bondholders including U.S. hedge fundsagreed to a recapitalisation, which meant Co-op Group went from outright owner to holding just a 20 percent stake.
The bank's problems were exacerbated when former chairmanFlowers pleaded guilty in May to drug possession following astream of lurid headlines in British tabloid newspapers.
Britain's seventh-largest lender said it lost around 38,000customers in the first half of 2014. (Reporting By Anjuli Davies, Editing by Paul Sandle)