HSBC CEO Threatens to Resign if Not Promoted

After sharing a £38 million ($59 million) bonus bonanza earlier this year, executives at Europe's biggest bank are now fighting over the chairman role. In fact, Michael Geoghegan (pictured), the CEO of HSBC (HBC), has threatened to resign from his job if he is not promoted to the position, the Financial Times reported, citing two unnamed people familiar with the bank's succession planning.

The global financial services firm, which has emerged healthier than many others from the financial crisis thanks to its focus on emerging markets, particularly Asia, is expected to select a replacement for Stephen Green at a board meeting next Tuesday in Shanghai. Green is stepping down as chairman at the end of the year to become the U.K.'s trade minister.

Traditionally, the bank has awarded the chairman role to its CEOs, but this time it's set to abandon the tradition, creating a boardroom succession scuffle. According to the FT, Geoghegan reacted badly to the suggestion that he might be passed over. Geoghegan, who already had an annual salary of just over £1 million, got an estimated £800,000 pay raise this year for relocating to Hong Kong. He received bonuses of £4 million ($6.2 million), which he donated to charity. In 2010, he stands to make, according to some sources, far more.

Candidates in the running include front-runner ex-Goldman Sachs banker John Thornton, finance director Douglas Flint and Simon Robertson, the non-executive who is leading the succession process, although that would almost certainly force him to give up his chairmanship of Rolls-Royce, the FT added.

If Geoghegan did resign, the favorite to succeed him as CEO would be Stuart Gulliver, currently the investment bank head and the best paid HSBC exec, the FT said. Although, according to people close to him, Geoghegan is known for his hot temper and might not follow through with the threat.

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andrealabrun

there goes another lost soul, MONEY IS THERE GOD, MY GOD OWNS ALL THE MONEY, AFTER DIDNT HE CREATE THIS EARTH AND MAN. MAN IS RUINING THE EARTH AND EVERYTHING LIVING ON HER, gOD WONT STAND FOR MUCH MORE, I think we have made him quite angry, if we do something wrong,,, we damm him, we take his name in vain, and toss his name around like idiots Soon God will throw up his mighty arms and everybody will know we have made him quite angery, and soon I hope

September 25 2010 at 3:34 AM Report abuse rate up rate down Reply
llwlknsn

Good lord. Boot him out and save on the salary. Find someone who wants to work instead of collect more bounty just because they are breathing.

September 24 2010 at 7:01 PM Report abuse rate up rate down Reply
ANDRE

Let him go, OH POOR Michael!!

September 24 2010 at 5:43 PM Report abuse rate up rate down Reply
jambaur9

Most of the candidates are dirtier then a sewage workers laundry,or the company they presently work for smells just as bad. The lot as a whole is dishonesty at its finest. Where does Geoghegan get off thinking he is indispensable. What an egocentric douchebag. Call his bluff, then hire someone far more ethically grounded,like say "Joe the Plumber"

September 24 2010 at 5:00 PM Report abuse +1 rate up rate down Reply
ecitjc

Ok tell him bye Bye let him go find another job

September 24 2010 at 4:25 PM Report abuse rate up rate down Reply
metalmolder2

Hit the bricks Geoghegan

September 24 2010 at 4:19 PM Report abuse +1 rate up rate down Reply
wretched one

give back the bonus and start looking for a new job buddy...

September 24 2010 at 3:58 PM Report abuse rate up rate down Reply
blditrt1

Bye-bye!

September 24 2010 at 2:58 PM Report abuse +1 rate up rate down Reply
Supreme Inspect

Say goodbye, Idle threats are for the weak minded, and kids.

September 24 2010 at 2:54 PM Report abuse +1 rate up rate down Reply
pinus1

This man can well afford to quit. He will have a hundred other job offers. He has enough money to stop working and bask in the sun for a hundred years and more. What a problem. I awake and worry about the children in America who do not have enough food to eat. It use to be that parents would tell their children to clean their dinner plates by saying, "think of all the hungry children in China." No more, think of all the hungry children in America. We have had hungry kids in our country for a long time, but never so many as we do now. For so many kids the only food they get is the food provided by the brakfast and lunch programs in the public schools. The greatest country in the world. If I was running for congress this would be my platform. But then I have to wonder do people really care about the children. How many have supported www.Bikefree.org for example? A measley dollar would go a long way to help the children of our fallen and wounded troops. There are too many more out there. And this man is concerned over what? A title, more millions of pounds sterling. He can go soak his head.

September 24 2010 at 1:44 PM Report abuse +2 rate up rate down Reply
1 reply to pinus1's comment
GLEN McWILLIAMS

it is really intesting,30 some years ago,when i was a kid and i still live in china,our goverment always told us,we (chinese people) live in good life,but in the whole world there is still a lot of poor people are hungery,like Taiwan,America,a lot of poor people didnt have food to eat.now we know both government they just bashing each other,brainwash the people,lie to them.this is became a joke in china now when we talk about how chinese government cheat us,told us the whole world worker unite to help the Taiwan ,american poor people.

September 24 2010 at 3:48 PM Report abuse rate up rate down Reply