FSA’s investigation of HBOS was “materially flawed”

The Financial Services Authority closed its eyes to evidence of poor management beyond the limited scope of its investigation into the failed bank HBOS, an independent report has determined. The findings may spark fresh investigations into individuals such as former CEO Andy Hornby as well as former chairman Lord Stevenson and could result in a number of prohibitions. These individuals would not be fined, as a statute of limitations applying to the case would prevent this.