Tag Archives: Barclays

Barclays To Pay $2.5M Over Violations Of Zimbabwe Sanctions

Law360, New York (February 8, 2016, 2:40 PM ET) — Barclays PLC on Monday agreed to pay $2.5 million to settle U.S. claims that the bank processed transactions for government-backed entities in Zimbabwe that were subject to U.S. sanctions.

The U.S. Department of the Treasury’s Office of Foreign Assets Control said in an enforcement release that Barclays, through its units in New York, the U.K. and Zimbabwe, helped the Industrial Development Corp. of Zimbabwe, a state-sponsored development institution, and individuals linked to IDCZ, process 159 funds transfers valued at around $3.4 million between July 2008 and…

Source: Law360

Barclays : Banks reach $154.3 million settlement on “dark pool” fraud

WASHINGTON (AP) — Two major global banks, Barclays and Credit Suisse, will pay a combined $154.3 million to settle state and federal investigations that they misled clients about the safety of trading on their “dark pool” financial exchanges, the New York Attorney General’s office expects to announce Monday.

The banks left their customers on these private exchanges vulnerable to “predatory, high-frequency traders” that could intercept their financial trades, despite assurances by Barclays and Credit Suisse to the contrary, according to a draft statement obtained by The Associated Press that announces the joint settlement with New York and the U.S. Securities and Exchange Commission.

“These cases mark the first major victory in the fight to combat fraud in dark pool trading,” said New York Attorney General Eric Schneiderman in the statement. “We will continue to take the fight to those who aim to rig the system and those who look the other way.”

Zurich-based Credit Suisse, a major firm on Wall Street, declined comment.

Read on.

Six bankers charged, five absent as UK begins Euribor rigging case

Yet, not one bank exec charged for this…

Six bankers were formally charged in British court on Monday with conspiring to manipulate Euribor benchmark interest rates, while another five accused in the case did not appear for the hearing.

The case involving 11 former Deutshce Bank (>> Deutsche Bank AG), Barclays (>> Barclays PLC) and Societe General (>> SOCIETE GENERALE) employees is Britain’s fourth prosecution of rate-fixing allegations since it joined a global inquiry kick-started by U.S. regulators in 2008.

It covers allegations of manipulation of Euribor, which alongside the London Interbank Offered Rate, Libor, is one of two main benchmarks used to set terms for $450 trillion in securities worldwide.


Read on.

FCA denies ‘going soft’ on banks – BBC

The acting head of Britain’s main financial regulator has denied softening her stance, after her decision last month to drop a wide-ranging review into banks’ behaviour sparked concerns about political interference.

Antipathy to banks has surged since some were bailed out with public money after the 2008 credit crisis. Since then global and local scandals including the rigging of currency rates and interest rate benchmarks have led to multi-million pound fines for banks including Barclays and HSBC.

Read on.

Barclays : in $13.75 million U.S. settlement over mutual funds

(Reuters) – Barclays Plc will pay more than $13.75 million to settle U.S. regulatory charges that it let retail brokerage customers make unsuitable mutual fund transactions, including more than 6,100 fund switches, over a five-year period.

The Financial Industry Regulatory Authority on Tuesday said the London-based bank’s Barclays Capital Inc unit will pay more than $10 million in restitution, including interest, to affected customers, and was fined $3.75 million.

Barclays did not admit or deny wrongdoing in agreeing to the settlement, which includes a censure. A spokesman had no immediate comment.

Read on.

Barclays fined for lax crime checks in ‘deal of century’

Britain’s financial watchdog has fined Barclays 72 million pounds ($109 million) for cutting corners in vetting wealthy customers in order to win a huge transaction described by one senior manager as potentially the “deal of the century.”

Barclays arranged the 1.9 billion pound transaction in 2011 and 2012 for a number of rich clients deemed by the regulator to be politically exposed persons (PEPs), or people holding prominent positions that could be open to financial abuse.

That should require a bank to conduct more detailed checks on them, but Barclays failed to do so and in fact cut corners with its compliance procedures, Britain’s Financial Conduct Authority (FCA) said in a damning report on Thursday.

Read on.

Big banks accused of interest rate-swap fixing in U.S. class action suit

NEW YORK (IFR/Reuters) – A class action lawsuit, filed Wednesday, accuses 10 of Wall Street’s biggest banks and two trading platforms of conspiring to limit competition in the $320 trillion market for interest rate swaps.

The class action lawsuit, filed in U.S. District Court in Manhattan, accuses Goldman Sachs Group, Bank of America Merrill Lynch, JPMorgan Chase, Citigroup, Credit Suisse Group, Barclays Plc, BNP Paribas SA, UBS, Deutsche Bank AG, and the Royal Bank of Scotland of colluding to prevent the trading of interest rate swaps on electronic exchanges, like the ones on which stocks are traded.

As a result, the lawsuit alleges, banks have successfully prevented new competition from non-banks in the lucrative market for dealing interest rate swaps, the world’s most commonly traded derivative.

The banks “have been able to extract billions of dollars in monopoly rents, year after year, from the class members in this case,” the lawsuit alleged.

Read on.

Barclays : could face another $100 million fine in FX probe – source

(Reuters) – Barclays Plc will pay at least another $100 million (65.7 million pounds) in a settlement with the New York financial regulator to resolve allegations that it rigged foreign exchange markets, a person familiar with the matter said.

The British bank could settle with the New York Department of Financial Services by next month, the person said.

Barclays agreed to pay $120 million earlier this month to settle private U.S. litigation accusing it of conspiring with rivals to rig the benchmark interest rate known as Libor.

Barclays had agreed in May to pay $650 million on charges related to U.S. dollars and euro trading in the forex spot market.

Read on.

UK Authorities Charge 10 In Euribor Rate-Rigging Scheme

Law360, New York (November 13, 2015, 2:29 PM ET) — The United Kingdom’s Serious Fraud Office on Friday charged 10 former Deutsche Bank AG and Barclays PLC employees in connection with manipulation of the Euro Interbank Offered Rate, or Euribor — the first criminal proceedings initiated against anyone involved in the rate-fixing scheme.

Six of those charged once worked at Deutsche Bank and four at Barclays, the SFO said, noting that criminal proceedings against others involved in the scheme will be coming as the investigation continues. All 10 — Christian Bittar, Achim Kraemer, Andreas Hauschild, Joerg…

Source: Law360

Hausfeld Announces $120 Million Settlement With Barclays in LIBOR Litigation

WASHINGTON, Nov. 13, 2015 (GLOBE NEWSWIRE) — Hausfeld, a global claimants’ law firm dedicated to handling complex litigation, announced today that the Over-The-Counter (“OTC”) Plaintiffs in In re LIBOR-Based Financial Instruments Antitrust Litigation, 11-md-2262 (S.D.N.Y.) have reached a $120 million settlement with Barclays Bank plc. In addition to the substantial monetary compensation, Barclays has agreed to cooperate with the OTC Plaintiffs in their continued litigation against the other bank defendants.

The LIBOR litigation stretches back to 2011, when the City of Baltimore and other purchasers filed lawsuits against Barclays and other international banks alleging that they conspired to artificially suppress the U.S. Dollar LIBOR rate during the financial crisis. In June 2012, Barclays admitted to manipulating LIBOR in settlements with U.S. and U.K. regulators. The settlement with the OTC Plaintiffs was achieved shortly before the Second Circuit Court of Appeals heard arguments on whether the plaintiffs’ antitrust claims should be reinstated after they were dismissed by the trial court.

Read on.