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Barclays facing new probe by watchdog

The onslaught against Barclays' reputation showed no signs of easing as the scandal-hit lender revealed it was embroiled in a fresh probe by City regulators.

Barclays, still reeling from the rate-rigging affair, admitted four past and present senior staff including current group finance director Chris Lucas are being investigated by the Financial Services Authority (FSA) over fees paid under deals made in 2008.

The watchdog is understood to be looking at whether disclosure of payments to advisers was sufficient when it raised more than £5bn of emergency capital from Middle Eastern investors at the height of the financial crisis.

The bank reported a 13% rise in underlying pre-tax profits to £4.2bn in the six months to June 30, sending its shares 7% higher.

The latest inquiry into Barclays' business practices is reportedly related to funds raised from investors in Qatar and Abu Dhabi which allowed Barclays to avoid taking a bailout like Lloyds and Royal Bank of Scotland.

Executive chairman Marcus Agius said the bank was “satisfied” it had given proper disclosure.

Belfast Telegraph


From Belfast Telegraph