Royal Bank of Scotland was fined $4.9 billion for misrepresenting mortgages it sold to investors in the run-up to the 2008 financial crisis, the United States Department of Justice said on Tuesday. The fine is the largest penalty imposed on a company for misconduct in the events that lead to the financial crash ten years ago.
The US government accused the Scottish lender of misrepresenting the quality of the mortgages they sold to investors during the housing bubble, between 2005 and 2008. "This settlement holds RBS accountable for serious misconduct that contributed to the financial crisis," Acting Associate Attorney General Jesse Panuccio said in a statement.
