Barclays Bank and former chief exec charged with fraud

Barclays Bank and former chief executive John Varley have been charged with conspiracy to commit fraud. Picture: Yui Mok/PA Wire
Barclays Bank and former chief executive John Varley have been charged with conspiracy to commit fraud. Picture: Yui Mok/PA Wire
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BARCLAYS and four former directors, including former chief executive John Varley, have been charged with conspiracy to commit fraud during the financial crisis.

The SFO has been investigating commercial agreements and fundraising deals made between Barclays and Qatari investors which date back to the 2008 financial crash.

Mr Varley, who was chief executive between 2004 and 2011, headed the bank at the time of the fundraising, while Mr Jenkins is also said to have played a key role in orchestrating the deal.

Mr Kalaris - an American banker living in London - used to lead the bank’s wealth and investment management division, while Mr Boath was the former European head of financial institutions group at Barclays.

The defendants will appear at Westminster Magistrates’ Court on July 3.

The way the bank secured the investments in 2008 has since been mired in controversy.

Investigations have focused on two “advisory services agreements” worth £322 million, which Barclays agreed to pay the Qatar Investment Authority.

The FCA slapped a £50 million penalty on the bank in 2013 after finding that Barclays had failed to disclose arrangements and fees it paid to the Qatari investors.

Barclays contested the fine and the challenge was put on hold while the SFO conducted its investigation, but that stay has been lifted.

The United States Department of Justice and the US Securities and Exchange Commission have also been carrying out investigations over the payments.

Barclays is meanwhile facing legal action from financier Amanda Stavely to recoup £700 million in advisory fees from Barclays she claims her firm, PCP Partners, is owed relating to the 2008 fundraising, which Barclays is defending.

The charges will come as a further headache for current Barclays boss Jes Staley after a series of recent blows, with the chief executive also facing a regulatory investigation into his own conduct after he attempted to identify a whistleblower.