LLOYDS chief executive Antonio Horta Osorio has landed a new top job as chairman of Credit Suisse, a bank with a recent history of management in-fighting and an explosive spying scandal.
The news comes one day after Lloyds unveiled HSBC’s Charlie Nunn as its new CEO.
Now he will replace Urs Rohner at Credit Suisse, probably the most important financial institution in Switzerland. He will start at the end of April, assuming shareholders back him at an annual general meeting. leaving Lloyds a little earlier than at first planned.
Horta-Osorio, 56, was paid around £7 million a year at Lloyds Bank. Details of his pay deal at Credit Suisse are still under wraps, but his predecessor was paid CHF3.7 million in cash and shares, about £4 million.
Rohner says Horta-Osorio is a “highly proven and recognised professional” with an “impressive record of accomplishments”.
Credit Suisse was embroiled in a “spy-gate” scandal earlier this year which saw senior executives followed by investigators.
That led to the departure of then CEO Tidjane Thiam, who insisted he had no knowledge of the spying.
The allegations led to a police inquiry and a huge scandal in Zurich, where Horta-Osorio is now expected to live.
Yesterday the Wall Street Journal reported that the spying regime was far broader than previously realised. A bank spokesman said it “does not condone the physical observation of its people and it is not part of Credit Suisse’s culture”.
Horta-Osorio has won praise for steering Lloyds through the rockiest period in it history, following a merger with HBOS and subsequent government bailout.
But some in the City have complained that his pay bore little relation to shareholder returns.
He will have to help Credit Suisse CEO Thomas Gottstein boost profits. Analysts feel it has missed out on a bump enjoyed by rivals.