According to sources closer to the matter, former Royal Bank of Scotland chief executive Fred Goodwin might be called upon to give evidence on the 2008 collapse of the bank that subsequently was rescued with tax payer's money.

He is expected to be called to the court when shareholders file for claims against the bank for allegedly misleading them. There are three lawsuits claiming that shareholders were misled during a £12 billion capital-raising exercise by RBS soon before the financial market collapse in 2008. A judge in London's Chancery Court is considering merging the three cases into one against the bank.

The bank management would defend his actions but it would certainly requirement him to appear in the court and provide evidence. The bank has also agreed to honour any legal fees incurred by any of its former directors. Mr Goodwin and the other former directors have been named in cases against the bank.

The lawsuits allege that RBS misled shareholders regarding its financial position and urged them to invest in additional shares just months before the bank collapsed in2008. One case is filed by RBoS Shareholder Action Group representing 12,500 private shareholders, another is filed by more than 50 institutional investors, including the US financial group ING Funds.