The biggest investor in Northern Rock, SRM Global, is preparing to launch legal action against the government and regulators this week over their role in the collapse of the nationalised bank, according to The Guardian .
The Monaco-based fund manager, which owns 12% of Northern Rock, is finalising tactics with its lawyers, White & Case. RAB Capital, the second-biggest investor in Northern Rock with about 8%, declined to comment on whether it would also launch legal action this week.
The lawsuit may name individuals such as the chancellor and the governor of the Bank of England.
DESPITE THE CREDIT crunch, manufacturing industry continues to record growth and companies in the sector remain optimistic about the future, according to the latest survey by the EEF, the engineering and manufacturers' organisation, and accountants Grant Thornton, according to The Independent.
While output and order balances are weaker in the survey conducted this month, compared with the last quarter of 2007, they remain above their long-term average.
Investment intentions also remained strong and were up on the previous quarter, while more firms said they are expanding employment than cutting jobs, and expected this to continue.
To comment on this story, contact:
0207 484 9793
Caring for children and elderly relatives
Similar to June 2007
Square Mile’s series of informal interviews
Fine reduced to £60,000
Two roles created