RBS Reaches Settlement With FCA, CFTC On Failings In Foreign Exchange Business

(RTTNews) - Royal Bank of Scotland Group PLC (RBS, RBS.L) Wednesday said it has reached a settlement with the Financial Conduct Authority or FCA in the United Kingdom and the United States Commodity Futures Trading Commission or CFTC in relation to investigations into failings in the bank's Foreign Exchange business within its Corporate & Institutional Banking division.

RBS has agreed to pay penalties of 217 million pounds to the FCA and $290 million to the CFTC to resolve the investigations.

The lender said these penalties are covered by the 400 million pounds provision recorded in the third-quarter 2014 results.

RBS remains in discussions with other governmental and regulatory authorities on these issues, including the United States Department of Justice and certain other financial regulatory authorities.

"The timing and amounts of any further settlements and related litigation risks however remain uncertain and could be significant," the firm said.