LONDON — The Financial Conduct Authority (FCA) is delaying a verdict on its probe of Barclays’ 2008 Qatari funding deal after the bank handed over a cache of “significant” documents to the regulator.
The Financial Times reports that Barclays has handed over thousands of documents that were recently discovered by its lawyers, Simmons & Simmons. They include emails from former top executives, according to a letter seen by the paper.
The FCA reopened its investigation into the billions of pounds of capital injected into Barclays by Qatari investors in 2008 in March of this year. The investigation centres around the fees paid to investors and business dealings Barclays had with them.
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 in 2013 for failing to fully disclose the fees it paid to Qatari investors but said it would contest the findings. The reopening of the probe raises the possibility that the FCA could increase the fine levied following its preliminary investigation.
The Serious Fraud Office is also investigating Barclays’ Qatari deal and has set a late-May deadline for deciding whether to pursue any criminal charges, although the watchdog has repeatedly missed previous deadlines it has set itself.
Business Insider contacted Barclays for comment. However, Barclays and the FCA both declined to comment when contacted by the FT. You can read the full FT story here.
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