Rathbones to pay £15m to end Jersey trust battle

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Wealth manager Rathbone Brothers has agreed to pay £15m as part of a conditional settlement to end a two-year dispute involving a former director which has already cost it £5m in legal fees.

The case began after a claim was filed in 2012 against a former director of Rathbone Trust Company Jersey Ltd, owned by Rathbones between March 2000 and October 2008. It was centred on the management of a Jersey trust which saw the assets underperform expectations. Rathbones did not choose or manage the investments. Rather, the claim was filed against trustees including the former Rathbones employee because an underlying investment performed poorly. In November the judge ruled in favour of Rathbones and its former employee, confirming he was covered by the insurance policy for any ...

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