This article is from the source 'independent' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.independent.co.uk/news/business/comment/time-running-out-for-peter-sands-at-standard-chartered-9823211.html

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Time running out for Peter Sands at Standard Chartered Time running out for Peter Sands at Standard Chartered
(about 4 hours later)
With Standard Chartered it’s claimed that when the popular finance director Richard Meddings left early this year and was holding his leaving party, Peter Sands, the chief executive, was on his way to the airport. When Standard Chartered's popular finance director Richard Meddings left early this year Peter Sands, the chief executive, made a fulsome, gracious, speech.
Sands was phoned, and told it might not look good with investors if he failed to attend the party, so he turned back and went along. No one was fooled: Sands and Meddings had barely spoken to each other in months. No one from the top of the bank was fooled, however. They knew that for months Sands and Meddings had been clashing and they had barely been on cordial terms.
It’s quite probable these tales will be denied by Sands and the Standard Chartered spinners. But there’s no doubting these are febrile days at the top of what was once one of Britain’s most successful banks. These are febrile days at the top of what was once one of Britain’s most successful banks.
Today’s profit fall, accompanied by a plunging share price, may be explained away by Sands. The reality, however, is that the latest woe will hasten a move against him that was always likely in 2015.Today’s profit fall, accompanied by a plunging share price, may be explained away by Sands. The reality, however, is that the latest woe will hasten a move against him that was always likely in 2015.
Sir John Peace, the chairman, no longer has a cushion. Shareholders, led by Temasek and Aberdeen Asset Management, are unlikely to give Sands any more time. Sir John Peace, the chairman, no longer has a cushion.
Shareholders, led by Temasek and Aberdeen Asset Management, are unlikely to give Sands any more time.
Sands’ opponents never have been able to abide his intellectualising; his preaching about the need for regulatory reform; the fact — did they not know it? — that he’d helped the Government to rescue the other banks.Sands’ opponents never have been able to abide his intellectualising; his preaching about the need for regulatory reform; the fact — did they not know it? — that he’d helped the Government to rescue the other banks.
Much of the hostility, to be fair, stemmed from Sands not being one of them; he hailed from McKinsey and was never a “roll up your sleeves”, “work your way to the top” banker.Much of the hostility, to be fair, stemmed from Sands not being one of them; he hailed from McKinsey and was never a “roll up your sleeves”, “work your way to the top” banker.
They point to Standard Chartered’s wholesale business making huge plays that may not be recovered (like a $1 billion loan to Samin Tan, the Indonesian investor in mining company Bumi); its mishandling of the New York regulator, with the bank handed a $340 million fine out of proportion to the offence; the forced loss of thousands of small to medium-sized business customers in the UAE as part of that same money-laundering fallout; the bank’s exposure to China, and a rise in Chinese interest rates. Then there are questions about Sands’ management style.They point to Standard Chartered’s wholesale business making huge plays that may not be recovered (like a $1 billion loan to Samin Tan, the Indonesian investor in mining company Bumi); its mishandling of the New York regulator, with the bank handed a $340 million fine out of proportion to the offence; the forced loss of thousands of small to medium-sized business customers in the UAE as part of that same money-laundering fallout; the bank’s exposure to China, and a rise in Chinese interest rates. Then there are questions about Sands’ management style.
When the shares were 1950p — as they were, let us not forget, in late 2010 — Sands could do no wrong. But now they are under 1000p, it’s no longer if but when he goes.When the shares were 1950p — as they were, let us not forget, in late 2010 — Sands could do no wrong. But now they are under 1000p, it’s no longer if but when he goes.