Lloyds Banking Group PLC (LON: LLOY) have been criticized for mistreating victims of major fraud.

Shares of Lloyds trade at 61p (-0.8%). 10/12/19 15:37BST.

Lloyd’s have seen a mixed few weeks of trading, as the firm reported a drop in third quarter pretax profits at the end of October.

Lloyds reported a a 97% fall in pre-tax profit for the third quarter from last year. Additionally, the company’s profit before tax for the third quarter fell 97% to £50 million from £1.82 billion last year.

Lloyds joined a growing list of multinational banks who had seen a slump in trading amid cut throat trading conditions.

FTSE100 (INDEXFTSE: UKX) listed HSBC (LON: HSBA) saw their trading figures slump in a similar period. The firm have announced changes to their structural organization as well as a strategy to lower costs leading to job cuts.

This morning, Deutsche Bank AG (ETR: DBK) updated the market as they gave modest predictions. The German bank said it expected revenue at its core banking business to grow by just 1% in the run up to 2022, half the growth level estimated in July. It put emphasis instead on efforts to cut billions of euros in costs.

However, Lloyds have not hit news headlines today to report a slump in trading but instead the treatment of their customers who have been a victim of fraud, which puts them in bad media spotlight.

The fraud at Halifax Bank of Scotland’s Reading branch led to six people being jailed in 2017 for a combined 47 years.

The scam involved small business customers being referred to consultancy for bribes which included watches, holidays and sex with prostitutes.

The bank’s compensation scheme for victims had ‘serious shortcomings’, retired judge Ross Cranston said in a review.

The bank has paid £102 million in compensation to 71 businesses and 191 directors over the fraud.

Additionally Lloyds said it would offer all victims the option to have their cases independently reviewed.

Watchdog the Financial Conduct Authority said it would consider ‘further action’ against Lloyds over the failings, adding that they needed to be addressed quickly.

We are disappointed that, after such a long period of time, the consequences of the HBOS Reading fraud for customers have not yet been properly remediated by LBG,” the FCA added.

Nikki Turner, one of the victims of the HBOS fraud and outgoing director of campaign group SME Alliance, welcomed the report but urged Lloyds to act quickly.

“It is nearly three years since the guilty verdicts were handed down, and a decade and a half since many of the frauds took place.

“Victims are suffering real hardship, many lost their businesses, homes and – in some cases – families. They need fair restitution now,” Turner said.

Politicians and campaigners have criticized Lloyds for the handling of the fraud case at HBOS.

Lloyds Chief Executive António Horta-Osório apologized to victims and said he was committed to making reparations.

Pendragon PLC (LON: PDG) have updated shareholders about the appointment of a new Non Executive Director.

Pendragon saw their shares surge at the end of November, as the firm saw profits rise in an mixed trading update.

The operator of Evans Halshaw and Stratstone saw underlying pre-tax profit rise to £3m from £1.1m, due to a combination of ‘better momentum during September, improved processes and good cost control’.

Despite rising profits, Pendragon saw a decline in total revenues by 8%, as like for like revenue dropped 3.6% and used car revenues dropped 19.6%.

Today, the firm has announced the appointment of Brian Small to their senior board with immediate effect.

Small was a former chief financial officer at sports-fashion retailer JD Sports Fashion PLC will serve on the board’s nomination committee, the remuneration committee, and will take over as audit committee chair from Richard Laxer from January 2 next year.

Small currently is a non executive director and chair of the audit committee at fashion giant Boohoo Group PLC who have seen an impressive period of trading.

Boohoo announced one week ago that they had seen a record performance across the Black Friday weekend.

Additionally, Small is non executive director and chair of the audit committee of baby product retailer Mothercare PLC.

Mothercare who have not been so fortunate updated the market this morning. The firm said that, for the 28 week period to 12 October, group loss before tax amounted to £21.2 million, deeper than the £18.5 million loss posted the year prior.

Pendragon Interim Executive Chair Bill Berman said: “I welcome Brian and look forward to working with him. He has an extensive track record and considerable experience from his career in business, and I am confident he will make a positive contribution to the board as we continue to take the business forward.”

Koovs PLC (LON: KOOV) have updated the market on Tuesday afternoon, saying that they have been placed into administration.

Koovs have seen a mixed few weeks of trading, and shares have been volatile. In November, the firm saw its shares sink amid talks between shareholders over a potential financial investment.

The India focused online fashion retailer said that it continued to negotiate with major shareholder Future Lifestyle Fashions Ltd (NSE: FLFL) for completing its £6.5 million investment.

Future Lifestyle Fashions is a subsidiary of Indian retail giant Future Group (NSE: FRETAIL).

Today, the firm has given a bleak update to shareholders as Future Lifestyle have failed to invest more money into the company.

Koovs said Future Lifestyle Fashions, part of India’s largest retail group Future Group, failed to fulfil a contractual commitment to invest a further £6.5 million into the company.

“The board expects that the business and assets of Koovs will be purchased from the administrator by a company connected to the company’s largest secured creditor, Waheed Alli, ensuring the continuation of the operating business,” the company said.

“If a replacement nominated adviser is not appointed within one month, the admission of the company’s securities will be cancelled on AIM. The company has no current intention of appointing a replacement nominated adviser,” Koovs added.

Koovs follow UK clothing firms who have seen a period of volatility in their share price. Similar to Koovs, women’s clothing retailer Laura Ashley saw their shares crash in October after the firm saw their finance chief depart.

In a public statement, Laura Ashely said “The board would like to take this opportunity to thank Mr Anglim for his contribution during his tenure with the company and to wish him the very best for the future,”

Additionally, the clothing department of Marks and Spencers saw their profits take a tumble in November, which was contributed in their clothing department.

Chief Executive Steve Rowe alluded to several factors which had caused the slump including blamed the 5.5% decline in like-for-like clothing sales in the first six months of its financial year on supply chain problems and buying errors that meant popular sizes quickly sold out in store and online.

Moody’s Investors Service (NYSE: MCO) have lowered the outlook for Ireland’s banking system from positive too stable.

The credit ratings agency said banks’ earnings will come under pressure from low interest rates, with asset risk continuing to fall.

Profitability will decline,” said Moody’s analyst Arif Bekiroglu. “Irish banks’ high reliance on net interest income makes them sensitive to the low interest rate environment. High exposure to low-margin tracker mortgages, rising costs due to increased debt issuance, revenue losses from sales of problem loans, and Brexit uncertainty are further headwinds for profitability.”

Expenses will remain high, as IT costs surge on a move towards digitalization, regulation and pending fines.

The operating environment should remain stable, Moody’s noted, forecasting real GDP growth of 3.2% in 2020 and 3% in 2021. The agency said growth should be supported by rising employment and investment.

Brexit could weigh on GDP, but Moody’s doesn’t expect an “economic shock”.

“Global economic uncertainty increases tail risk due to Ireland’s open economy, which hosts many multinational corporations,” Moody’s added.

The agency continued: “Meanwhile, banks’ asset risks are set to keep falling, as economic growth and low rates support borrowers’ finances, and as banks continue to sell and restructure problem loans. Enhanced risk management and stricter Central Bank of Ireland affordability guidelines should prevent excessive risk taking, holding back new problem-loan formation. Moody’s also expects capital ratios to hold steady, and funding and liquidity to remain strong.”

The performance from the Bank of Ireland (LON: BIRG) however seems to defy the change made on Tuesday.

Bank of Ireland recorded €1.5 billion of net lending growth in the nine-month period, which is 800 million higher than in the same period a year ago.

Bank of Ireland commented that the economic growth in its core markets of Ireland and UK remained “positive”, despite the “ongoing uncertainties” related to the UK’s decision to leave the EU.

Just one week ago, Moodys lowered the UK Banking Sector outlook from stable to negative. It seems that analysts at Moody’s still seem more optimistic on the Irish Banking sector compared to the UK one.

Certainly looking at the slow performance from FTSE100 listed HSBC (LON: HSBA) who have seen a slowdown in trading following an operational overhaul, neither the UK or Irish sector is looking too promising amid political and economic turmoil currently dominating news headlines.