REPORT: Regulator reopens investigation into Barclays 2008 Qatari fundraising

LONDON — The Financial Conduct Authority reopened a four-year-old investigation into 
billions of pounds of capital injected into Barclays by Qatari investors in 2008, according to the Financial Times.

In 2013, the Financial Conduct Authority alleged that Barclays paid around £322 million to Qatari investors in return for a £4.6 billion capital injection at the height of the 2008 financial meltdown.

The emergency cash call in October 2008 helped the bank avoid a state bailout in the wake of the fall of Lehman Brothers.

Barclays paid a £50 million fine but said it would contest the findings.

Meanwhile, the Serious Fraud Office has been investigating “certain commercial arrangements between Barclays Bank and Qatar Holdings” since 2012, setting a deadline for a charging decision in March, according to the FT.

 

Although it spared Barclays from public ownership, the deal attracted regulators’ scrutiny and a fraud investigation. The central question is whether Barclays made secret loan payments to Qatar in order to secure the financing, and if so, whether those payments breached financial rules.

Business Insider has contacted the FCA and Barclays for comment. 

More from Business Insider UK:

NOW WATCH: The ‘Uber of helicopters’ can get you from Manhattan to JFK for much less than you think

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.