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Serious Fraud Office seeks to reinstate charges against Barclays

July 24, 2018 9:16 AM
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The company has said it will defend the application sought by the SFO, which was dismissed by Southwark Crown Court in May.

In a statement, it added: "Barclays noted at the time its expectations that the SFO was likely to seek to reinstate those charges by application to a High Court Judge to recommence proceedings via a new indictment of the same charges."

In order to avoid asking the UK government for a taxpayer bailout, Barclays raised almost £12bn from investors in the Middle East, including the Qatari state sovereign wealth fund, to help it weather the storm.

Shortly afterwards, Barclays loaned $3bn (£2.2bn) to the State of Qatar.

The way in which those deals were constructed is now at the heart of the SFO's case. Fees of about £320m were paid to advisers, but there has been almost no information about who got that money and why.

Another allegation is that the bank, worried about its capital position, lent money to Qatar, in order that most of the money could be spent on buying its own shares - bolstering the appearance of the bank's financial position.

The SFO has argued Barclays may have been in effect lending itself money, known as "financial assistance", which is illegal.

The bank and several of the company's former top executives were charged in connection with the loan in June last year.

Source: news.sky.com

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