Managing director Bill Dudgeon and director of sales and marketing Mark Bergin have quit The Mortgage Business along with fellow directors David Parry and Paul Graham.
All four are leaving to go to Deutsche Bank, for yet to be named positions although it is widely tipped they will be launching a new specialist lender into the intermediary market in the north west of England area.
Deutsche Bank declined to comment.
Dudgeon has been with the HBOS subsidiary for 10 years and Bergin since it was first set up by Bank of Scotland in 1989.
Dudgeon says: “For us four we have 80 years service so it’s been a real privilege to play our part in the success of The Mortgage Business but now it’s time to move on.”
He will continue to work at TMB until the end of September but non-compete covenants in their contracts with HBOS mean all four are likely to be on “gardening leave” until March next year – meaning they will not be able to officially start at Deutsche Bank until Spring 2006.
Nigel Payne, a senior executive at HBOS, is assuming the position of managing director.
Peter Charge, who has worked at BM Solutions for 22 years and is currently regional manager for the south at BMS, will take over as director of sales. He will leave his position at BM Solutions and a replacement for his role has yet to be found.
And John Nixon, head of mortgage operations at BMS, has been appointed as director of operations. He retains his position at BM Solutions also.
Three other existing senior managers at TMB, John Sleigh, Robert Holmes and Barrie Knox, will all take a wider role at the business, showing the strength of the team at Chester.
Senior sources within the HBOS group have questioned whether the four TMB directors have been pushed, given no other option but to leave, or walked voluntarily.
One says: “You have to question whether this is a case of TMB’s recent under performance under the then management or whether that under performance was down to the conservative and cautious approach of the HBOS credit team which has caused the management to walk.”
But a spokesman for HBOS says: “This has totally been their choice. All four wanted a new challenge and there was nothing new coming up in the HBOS stable our five brand strategy will continue. We wish them well.”
TMB will continue to focus on providing specialist mortgages via intermediaries and packagers. Nigel Payne and his team will develop the TMB proposition as the specialist lender of choice for mortgage packagers and intermediaries.
Nigel Stockton, director of HBOS Intermediary Mortgages, says: “I’m delighted that Nigel will be joining the team at TMB as he has vast experience of the UK mortgage market.
“He and the team will ensure that TMB goes from strength to strength. Obviously we’re sorry to lose Bill and his team but we wish them all the very best in their new roles.”
Nigel Payne, managing director of TMB, adds: “I’m very much looking forward to joining TMB and taking the business into its next phase of growth.
“This is a new and very exciting chapter in our history. We are already planning to announce some extremely exciting developments in the next eight weeks.”