Cameron defends Greensill largesse

BUNDABERG financier Lex Greensill paid David Cameron, a “generous salary’’ to act as an adviser for his failed company Greensill Capital, but the former UK prime minister said it was “totally absurd’’ to suggest he could have benefited from share options worth £60m ($109m).

In a gruelling appearance before a Treasury select committee, Mr Cameron said he was “pained’’ to appear before MPs he had once led, but admitted: “I wanted this business to succeed. I was being paid, I had shares, I had an interest in it.”

He insisted he acted appropriately in lobbying on behalf of Greensill, adding: “I would never put forward something that I didn’t think was absolutely in the interests of the public good.”

But he accepted that as a former prime minister, he had made mistakes in how he had lobbied ministers and officials.

Greensill Capital collapsed in March after insurers became nervous about the high proportion of the company’s loans being provided to the high-risk steel industry through Sanjeev Gupta’s company GFG Alliance, owner of South Australia’s Whyalla steel works.

The firm’s implosion threatens about 50,000 jobs at companies around the world that relied on its financing for their supply chains, and has rekindled the debate on the close ties between British politics and finance.

It emerged this week that UK regulator the Financial Conduct Authority is formally investigating Greensill Capital after allegations that were “potentially criminal in nature”.

Mr Greensill appeared before the same committee earlier in the week and said he took “full responsibility” for its collapse.

Mr Cameron (pictured) is being investigated over his lobbying efforts on behalf of Greensill — which included dozens of texts, emails and some private dinners with key MPs.