The world's oldest banking institute is to consider stripping disgraced banker Fred Goodwin of its fellowship in light of his catastrophic handling of the RBS affair.

The Edinburgh-based Chartered Institute of Bankers in Scotland, which once had Goodwin as its president, is to discuss taking action against the former knight at its council meeting in April.

Founded in 1875, the Institute is the UK's leading provider of banking qualifications, and has around 10,000 members in 35 countries.

Its code of conduct for fellows and members demands they "consider the risks and implications" of their actions, treat colleagues with "respect" and "uphold the name and reputation of the banking profession and the financial services industry".

Goodwin, who lost his knighthood on Wednesday for bringing the honours system into disrepute, helped steer RBS to disaster, terrified his colleagues, and now symbolises greed and hubris among bankers.

The Royal Society of Edinburgh, one of Scotland's most august bodies, is already considering stripping Goodwin of its fellowship this month.

The Institute's move has been prompted by a recent report by the Financial Services Authority (FSA) into the 2008 RBS collapse, which left taxpayers with a £45bn bill and 82% of its shares.

If the Institute concludes the FSA report amounts to a censure for Goodwin, that would be grounds for stripping him of his fellowship.

The FSA report, from which some criticism of Goodwin was removed by his lawyers, is ambiguous. But last month, one of the external advisers on the FSA file, Sir David Walker, told a Commons committee that it did amount to a censure.

"There is an accumulation of poor decisions which were poor by the standards of the time, and it is very hard to see how this can't be - a censure of the chief executive, who was pivotal in virtually every decision that was taken," he told MPs.

Simon Thompson, the Institute's chief executive, said he would ask the FSA for more details ahead of the meeting discussing Goodwin's fellowship.

"I will be seeking clarity from the FSA as to whether their conclusions amount to censure, because that would provide the basis on which we would be able to take any action according to our own rules and procedures. As with all professional bodies, the ultimate sanction is you lose your membership or fellowship status."

Although Goodwin was an accountant rather than a qualified banker, the Institute made him an honorary fellow in 1996 when he was a rising star in charge of the Clydesdale Bank.

The honour entitled him to put the initials FCIBS after his name, something he did routinely, including later in the RBS annual accounts.

"These days you can only become a member or fellow by passing the exams," Thompson added.

Goodwin also served as the Institute's president from 1997 to 1999, a period which coincided with him becoming the deputy chief executive of RBS.

Many of those who served alongside Goodwin when he later ran RBS are also FCIBSs, including former chair Sir George Mathewson, former vice-chairs Sir Angus Grossart and Sir Iain Vallance, and numerous executive and non-executive directors.