RE: Would imagine the 2 shorts on the company will soon bail out22 Dec 2021 11:05
I suppose it's feasible that our shorters might be holding on for the result of the FCA investigation, knowing FCA however this could take an eternity, the below is from the rns resuts dated 24th feb 2021: Also, does anyone know from history if they have set aside an amount for potential costs relating from these investigations or whether its coverd in its annual 'remedial costs' ? thanks
FTR I own shares in Metro Bank
"The Group is currently subject to enforcement investigations by both the Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA).
· The PRA's investigation relates to potential breaches of the PRA's Fundamental Rules 2 and 6. The PRA is investigating whether there were failures to conduct regulatory reporting with due skill, care and diligence, to remedy an issue identified by the PRA in a timely fashion and/or to provide effective oversight and control to comply with its regulatory reporting obligations. These issues relate to the Group's assessment and reporting of its risk-weighted assets. The Group is co-operating with the PRA's investigation. As yet, the PRA has given no indication of the likely timeframe for completing their investigation or of the action that might be taken as a result. At this stage it is not practicable to identify the likely outcome or estimate the potential financial impact with any certainty.
· The current scope of the FCA's investigation concerns potential breaches of articles 15 and 17 of the Market Abuse Regulation (EU 596/2014), Principle 11 of the FCA's Principles for Business, and Listing Principle 1, Premium Listing Principle 6 and Rule 1.3.3 of the Listing Rules, in the period between 1 June 2017 and 26 February 2019. The investigations relate to the announcements made on 23 January 2019 and 26 February 2019 in relation to risk-weighted assets and AIRB accreditation respectively and the impact these announcements had on the Group's share price. The Group is co-operating with the FCA's investigation. As yet, the FCA has given no indication of the likely timeframe for completing their investigation or of any action that might be taken as a result. At this stage it is not practicable to identify the likely outcome or estimate the potential financial impact with any certainty.
Financial Crime
In 2017 and 2019 initial disclosures were made to the United State's Office of Foreign Assets Control (OFAC) in relation to Cuba and Iran. The Group continues a review in respect of these matters, together with a review of its sanctions screening and transaction monitoring systems and controls, with the support of external advisers. The Group is continue to engage and fully co-operate with its regulators in relation to these matters. At this stage it is not practicable to identify the likely outcome or estimate the potential financial impact with any certainty."