Fast-growing UK fintech Revolut will appoint Goldman Sachs veteran Michael Sherwood to its board as part of efforts to improve corporate governance after a series of mis-steps. The recruitment of Mr Sherwood, the former co-head of Goldman Sachs in Europe, as a non-executive follows the appointment of experienced banker Richard Davies as Revolut’s chief operating officer.
Confirmation of Mr Sherwood’s role, which was first reported by Sky News, is expected this week. Revolut declined to comment. Revolut has faced scrutiny this year from the UK Financial Conduct Authority, the Advertising Standards Authority and the Lithuanian parliament, with particular questions over its ability to combat illicit money transfers.
It reported a spate of suspected money laundering to regulators and law enforcement last year, ran into problems with a planned upgrade to part of its compliance systems, and has suffered from high staff turnover in senior compliance roles.
In response, it has hired Standard Life Aberdeen co-chief Martin Gilbert to work with chief executive Nikolay Storonsky in an advisory capacity, and has recruited Silicon Valley Bank chief operations officer Bruce Wallace and former Deloitte partner Caroline Britton as non-executives. Mr Sherwood has kept a low profile since he quit Goldman Sachs after a three-decade career. Previously tipped as a successor to former chief executive Lloyd Blankfein — a job ultimately taken by his US rival David Solomon — towards the end of his tenure, Mr Sherwood became embroiled in the controversy over the sale of the failed department store BHS by Philip Green.
He was also at the helm of Goldman Sachs International during the 1MDB scandal. When Mr Sherwood left, he said he planned to focus on his personal investments and philanthropic activities, including work for a charity that provides sports training to children in London. He has also invested in a credit analysis start-up and is a trustee of the Serpentine Galleries in London.