London - Royal Bank of Scotland (RBS) bosses were Wednesday expected to be quizzed by shareholders about the reasons that led Britain's second largest bank to launch a record rights issue of 12 billion pounds (24 billion dollars) to bolster its finances. The RBS annual general meeting got under way in Edinburgh, Scotland, amid speculation Wednesday that shareholders would put pressure on chief executive Fred Goodwin to step down within a year.
Goodwin, 49, has led the bank's massive expansion in recent years which included the takeover of Dutch banking giant ABN Amro last year - a move believed to have made RBS more vulnerable to the credit crunch than other banks.
The call for new funds came less than two months after the bank declared its capital base was satisfactory.
Goodwin, who has led the bank since 1998, earned the nickname "Fred the Shred" for his rigorous cost-cutting drive at the Edinburgh-based bank.
"We want a clear indication from the company about when Sir Fred will leave," an unidentified major investor was quoted as telling the Financial Times Wednesday.
The bank's chairman, Tom McKillop, was also under pressure to "go within a year."
In its pre-AGM statement Tuesday, the bank also revealed further write-downs of 5.9 billion pounds from risky investment and mortgages - the biggest crtedit crunch losses admitted so far by a British bank.
