If members vote against, Hartigan and Cook have only themselves to blame. In effect, members are being asked to take an awful lot on trust from people who have done very little to earn their faith. Hartigan and his opposite number at Bain, Matt Popoli, have made assertions that the Bain deal is the best that is, or will be, on offer. Even if true, and that is far from clear, the idea loyal LV policyholders have to settle for ‘least worst’ is in itself appalling. Some commentators have damned the Bain deal with faint praise, by speculating that it may be the least worst option. Critics have lined up to attack the deal, including MPs, pensions and finance experts, and many of LV’s own members. He and Cook have utterly failed to convince. Whether or not Bain still wants to hand the reins to hapless Hartigan after the dismal showing he has made over the sale is an interesting question. There certainly is here, since Cook was in line to keep his £205,000-a-year job under Bain, and Hartigan has been hoping to remain in charge with a lucrative pay packet and an equity stake. It should therefore go without saying that anyone attempting to sell a mutual to a buyout firm needs to mount an utterly compelling case, particularly if there is a potential conflict of interest involved.
Another fine mess: LV members deserve better than the Laurel and Hardy of mutual insurance
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