Barclays’ CFO in Latest Investigation
The UK’s Financial Services Authority (FSA) has launched a formal investigation related to Barclays Bank’s 2008 fundraising activities with Middle Eastern investors. The investigation involves four current and former employees says the bank, including chief financial officer (CFO) Chris Lucas.
Barclays confirmed that the FSA was investigating “the sufficiency of disclosure in relation to fees payable under certain commercial agreements and whether these may have related to Barclays’ capital raisings in June and November 2008”.
The FSA is also expected to focus on the bank’s business arrangements with Qatari investors, among others. Qatar’s sovereign wealth fund (SWF) was among the investors that provided total funding of £7.3bn (US$11.45bn) in the initial phase of the financial crisis, when Barclays refrained from seeking an injection of funds from the UK government. The bank would likely have been taken over by the government after a taxpayer-funded bailout but for the Qatari money.