The Financial Reporting Council (FRC) has launched an investigation into the conduct of former Bradford & Bingley group finance director Chris Willford.
The council is to probe whether Willford, a qualified accountant, adhered to the professional code of ethics under the FRC's Accountancy Scheme during his tenure at the troubled bank between October 2005 and June 2009.
An FRC spokesperson said: "We have an investor confidence focus. What we do under our conduct monitoring activity is ensure that members of the accounting or actuarial professions follow the ethical standards that we set and the regulations for preparations of financial reports.
"[The investigation] is about Willford's conduct as a member of the profession."
The Financial Conduct Authority (FCA) fined Willford £30,000 in December for failures ahead of its 2008 rights issue.
It found that he had failed to provide the bank's board with up-to-date information about its financial position, including profits, mortgage arrears and re-possessions, but had not caused the failure of the rights issue or nationalisation of the bank.
If found in breach of professional conduct rules during the FRC's investigation, Willford will be referred to an independent tribunal for disciplinary proceedings and the threat of an unlimited fine or being struck off.
Bradford & Bingley was split up and partly bailed out by the taxpayer during the financial crisis.
The Financial Services Compensation Scheme (FSCS) took on government loans to compensate depositors with the bank at the time.
In its latest budget consultation out on Tuesday, the FSCS said it was exploring ways to accelerate the full repayment to be recovered from Bradford & Bingley.
It wrote: "While Bradford & Bingley forecast repayment of the FSCS claim in full, the timing of repayment remains unclear. We are taking further advice considering options that may accelerate repayment of our loan."
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