A lawsuit for investors in Royal Bank of Scotland Group plc (ADR) (NYSE: RBS), who purchased their RBS shares on or about April 8, 2005, was filed in the United States District Court for the Southern District of New York alleging Royal Bank of Scotland violated Federal Securities laws by issuing a false and misleading Registration Statement and Prospectus.

According to the securities class action complaint the plaintiff alleges on behalf of investors of the ADRs of The Royal Bank of Scotland Group plc (NYSE:RBS) who purchased RBS ADRs pursuant to the Registration Statement and Prospectus filed on or about April 8, 2005, with the U.S. Securities and Exchange Commission that the Royal Bank of Scotland Group plc and certain of its executive officers and/or directors, among others violated Federal Securities Laws, because the above stated Registration Statement and Prospectus allegedly was misrepresented and/or failed to disclose material, adverse information concerning the Royal Bank of Scotland Group’s business, prospects and financial performance. T

he plaintiff claims that charges Royal Bank of Scotland Group plc and certain of its officers, directors, and underwriters of violations of the Securities Act of 1933 by virtue of Royal Bank of Scotland Group's failure to disclose that its portfolio of debt securities was much more impaired than disclosed, with losses attributable to the severe impairment not being recorded and that its participation in the acquisition of ABN AMRO would have disastrous results on its capital position and overall operations such that, with an inadequate capital base resulting from the significant deterioration in its subprime assets, Royal Bank of Scotland Group plc would have no choice but to raise significant amounts of additional capital under unfavorable terms.