Former Barclays bosses face criminal charges
20 June 2017 National News
Barclays and four former senior executives are facing criminal charges relating to the bank’s emergency fundraising at the height of the financial crisis.
The Serious Fraud Office (SFO) capped a five-year investigation by announcing Barclays had been charged with conspiracy to commit fraud and the provision of unlawful financial assistance.
It said: “The charges relate to Barclays Plc’s capital raising arrangements with Qatar Holding LLC and Challenger Universal Ltd, which took place in June and October 2008, and a $3bn loan facility made available to the State of Qatar acting through the Ministry of Economy and Finance in November 2008.”
In addition to the allegations it was levelling against the bank, the SFO charged its-then chief executive John Varley and another senior executive at the time, Roger Jenkins, with conspiracy to commit fraud by false representation over the capital raisings.
They are also facing a charge of unlawful financial assistance.
Two other men in senior roles at the bank in 2008- Thomas Kalaris and Richard Boath – face a single charge of conspiracy to commit fraud by false representation in relation to the June 2008 fundraising only.
The case is due in court on 3 July.
The bank said in response that it was “considering its position in relation to these developments” and it had been informed by the SFO that it had not made a decision on whether to also bring charges against it in respect of the loan.
It added: “As previously disclosed, the FCA (Financial Conduct Authority) issued warning notices in connection with its investigation into the advisory services agreements and the United States Department of Justice and the US Securities and Exchange Commission have also been conducting investigations relating to these same agreements.
“The FCA’s investigation in relation to the advisory services agreements had been stayed in view of the SFO’s investigation but that stay is currently lifted.
“Other authorities have also been kept informed of developments in these matters.
“Also, as previously disclosed, a civil claim has been served on Barclays Bank PLC by PCP Capital Partners LLP and PCP International Finance Limited in relation to the November 2008 capital raising, which Barclays Bank PLC is defending.”