LONDON May 27 Britain's Co-operative Bank on
Tuesday appointed Laura Carstensen, a former deputy chairman of
Britain's competition watchdog, to chair a committee set up to
safeguard its ethical principles.
Co-op Bank fell under the control of bondholders, including
U.S. hedge funds, last year after a 1.5 billion pound ($2.5
billion) funding gap was exposed, raising fears from some
customers that its ethical stances, which include not lending to
the likes of weapons makers, could be compromised.
In an attempt to reassure customers, the bank's new owners
installed commitments to values and ethics into the bank's
Articles of Association and set up a committee to ensure it
adhered to those standards.
Carstensen, formerly a partner at legal firm Slaughter and
May, will join the board of the Co-op Bank as a non-executive
director and will lead the ethics committee.
"It is vital for the UK banking system, for society and for
The Co-operative Bank that values and ethics is at the heart of
what we do," Carstensen said in a statement.
($1 = 0.5936 British Pounds)
(Reporting by Matt Scuffham, editing by Louise Heavens)