PUNISHED: The US government alleges RBS misled investors in underwriting and issuing residential mortgage-backed securities, understating the risks behind many of the loans and providing inaccurate data. Picture: BLOOMBERG/SIMON DAWSON
PUNISHED: The US government alleges RBS misled investors in underwriting and issuing residential mortgage-backed securities, understating the risks behind many of the loans and providing inaccurate data. Picture: BLOOMBERG/SIMON DAWSON

Royal Bank of Scotland will pay $4.9bn to settle US claims that it misled investors on residential mortgage-backed securities between 2005 and 2008, the US justice department said. The department said the penalty is the largest-ever imposed on a bank for misconduct leading up to the financial crisis. The bank in May said that it had reached the settlement in principle.

Corona owner invests in more than cannabis in a can

Corona beermaker Constellation Brands will infuse another $4bn into Canada’s top cannabis producer, Canopy Growth. Constellation, among the first big alcohol makers to invest in the marijuana industry, pumped almost $200m into Canopy last year in a deal to produce a nonalcoholic cannabis-based beverage. The investment will support Canopy’s full suite of products and assist as it develops new offerings, said Constellation CEO Rob Sands.

Reuters

Please sign in or register to comment.