It has emerged that the City regulator warned Barclays two years ago that its approval of Bob Diamond’s appointment as chief executive was dependent on the outcome of the Libor-fixing inquiry.
The detail was revealed in a file note made by the Financial Services Authority following a meeting in 2010 between its chief executive Hector Sants and the bank’s then-chairman Marcus Agius.
The FSA document was released by the Treasury Select Committee of MPs, which is heading an investigation into the Libor scandal.
While discussing the approval of Mr Diamond, the note said that Mr Sants “stressed that this is an ongoing investigation and the FSA’s position (the endorsement of Mr Diamond’s appointment) could change so the board should be aware.”
The note suggested that Marcus Agius would alert Mr Diamond to that effect.
In his evidence to the Committee on July 4 2012 after his resignation over the Libor scandal, Mr Diamond told MPs he had only learned of the extent of the Libor investigation the previous month.
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