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Membership of the RBoS Shareholders Actions Group
The
RBoS Shareholders Action Group (“the Company”) is a company limited by
guarantee formed for the purpose of researching and possibly pursuing legal
action on behalf of the shareholders in Royal Bank of Scotland (“RBS”). Of
particular concern to shareholders is the rights issue that was undertaken
in May of 2008. Although it was at a substantial discount to the market
price of the shares at that time, the share price has since fallen very
substantially. The rights issue was at 200p whereas the company has recently
traded around the 40p mark and has been as low as 10p. Shareholders believe
the rights prospectus was misleading and it certainly gave no hint that
within a few months the company would require a massive bail-out by the
Government which has diluted the interests of ordinary shareholders very
substantially (the Government's economic interest in the company has risen
to 85%). Shareholders have as a result lost an enormous amount of their
capital.
The RBoS
Shareholders Action Group has been formed by a number of shareholders to
pursue this matter and any claims that can be brought. We invite you to
register your interest by becoming “associate members” of the Company. The
associate membership fees will be used to pay for legal advice on this
matter including the obtaining of a QC’s opinion on the issues and to cover
the costs of writing to shareholders, keeping you informed and administering
the Company.
These fees
are fixed and you will have no obligation to contribute further, or have any
risk of liabilities for adverse costs. Associate membership will not mean
statutory membership of the Company. If we identify specific grounds for
legal action then we will advise you how this might be funded in due
course.
The proposed
associate membership fees vary depending on the number of shares for which
you subscribed in the rights issue in 2008 as
follows:
|
Number of shares |
Fee |
|
More than 20,000 |
£150 |
|
10,000 to
20,000 |
£100 |
|
5,000 to
10,000 |
£50 |
|
Less than
5,000 shares |
£25 |
The above
fees give you “associate membership” of the Company. If you contribute £200
or more then you can also apply for full membership which gives you voting
rights in this group. Such applications are subject to approval..
To apply for
associate or full membership please click on this document (a pdf file), print it
out and send with a cheque to the address given on the form:
RBOS_Appeal_Letter (we can
also accept direct transfers into our bank account but please contact us for
further information if you wish to pay by that means).
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