Questions over recruitment of ex-chair at Co-op Group
20 November 2013
The chair of The Co-operative Group has resigned over embarrassing allegations about the behaviour of Paul Flowers, the former chair of The Co-operative Bank, who he helped recruit.
Wed, 20 Nov 2013The chair of The Co-operative Group has resigned over embarrassing allegations about the behaviour of Paul Flowers, the former chair of The Co-operative Bank, who he helped recruit.
Group chair Len Wardle resigned yesterday with immediate effect, ahead of his planned retirement in May, which was announced just last month.
Paul Flowers left the Co-op Bank in June, and has since been embarrassed by and apologised for video footage published by the Mail on Sunday apparently showing him buying drugs.
The Daily Mirror today reports he quit as a councillor in Bradford in 2011 after pornographic material was found on his town hall laptop, while other allegations fly in from various sources.
He said: "The recent revelations about the behaviour of Paul Flowers, the former chair of The Co-operative Bank, have raised a number of serious questions for both the bank and the group.
“I led the Board that appointed Paul Flowers to lead the Bank Board and under those circumstances I feel that it is right that I step down now, ahead of my planned retirement in May next year.”
The group had already said on Monday (18 November) that it had “started a fact-finding process to look into any inappropriate behaviour at The Co-operative Group or The Co-operative Bank and to take action as necessary”. This was in addition to a “root and branch review of the democratic structure of the organisation”.
In a piece on the BBC News website, the corporation’s political correspondent Robert Peston suggests his rise through the bank despite a lack of experience came down to his being a skilled political operator among other factors, and a seemingly “lackadaisical” approach from the Financial Services Authority, the now defunct regulator which would have approved his appointment.
Group chair Len Wardle resigned yesterday with immediate effect, ahead of his planned retirement in May, which was announced just last month.
Paul Flowers left the Co-op Bank in June, and has since been embarrassed by and apologised for video footage published by the Mail on Sunday apparently showing him buying drugs.
The Daily Mirror today reports he quit as a councillor in Bradford in 2011 after pornographic material was found on his town hall laptop, while other allegations fly in from various sources.
He said: "The recent revelations about the behaviour of Paul Flowers, the former chair of The Co-operative Bank, have raised a number of serious questions for both the bank and the group.
“I led the Board that appointed Paul Flowers to lead the Bank Board and under those circumstances I feel that it is right that I step down now, ahead of my planned retirement in May next year.”
The group had already said on Monday (18 November) that it had “started a fact-finding process to look into any inappropriate behaviour at The Co-operative Group or The Co-operative Bank and to take action as necessary”. This was in addition to a “root and branch review of the democratic structure of the organisation”.
In a piece on the BBC News website, the corporation’s political correspondent Robert Peston suggests his rise through the bank despite a lack of experience came down to his being a skilled political operator among other factors, and a seemingly “lackadaisical” approach from the Financial Services Authority, the now defunct regulator which would have approved his appointment.
