17 February 2015
Lord Green has stepped down as chairman from TheCityUK Advisory Council with immediate effect.
A result of the HSBC tax scandal, Stephen Green is to be replaced by Sir Gerry Grimstone, chairman of the TheCityUK's board, whose term is about to conclude.
Sir Gerry will continue to serve as chairman of the TheCityUK's board until its AGM in September 2015. He has already announced his plan to step down as chairman of the board at that point.
Sir Gerry said of Lord Green that he ‘doesn't want to damage the effectiveness of TheCityUK in promoting good governance and doing the right thing [and] so has decided to step aside from chairing our Advisory Council. This is entirely his own decision.’
Lord Green was group chairman of HSBC from 2005 and 2010, the period in which the tax scandal evidence was stolen and allegedly sent to UK government agency HMRC. It was during this tenure that the global banking giant was also accused and found guilty of enabling money laundering around the world.
In particular, HSBC was fined $1.9 billion (£1.2 billion at the time) in 2012 for these money laundering failures, which exposed the US and other global economies to drug cartel and terrorist financing.
HSBC’s Geneva office was also subject to a police raid on 18 February 2015 as part of an inquiry into alleged aggravated money laundering.
Current HSBC chief executive Stuart Gulliver issued a public apology for the bank's conduct in relation to the tax scandal earlier this week on 15 February 2015.
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