Regulators expected to hand Barclays boss hefty fines in whistleblowing case
The Financial Conduct Authority (FCA) and the Prudential Regulation Authority are expected to hand a Barclays chief executive who interfered in an important whistleblowing case fines of up to £1 million, it has emerged in recent days.
Barclays senior exec Jes Staley first found himself under fire in late 2016, after he made two attempts to identify a whistleblower via his own means.
According to reports, board members received two anonymous letters in June of that year, both of which made serious allegations against another Barclays official, Mr Tim Malin. The concerns were subsequently investigated and treated as a whistleblowing incident, but a disgruntled Mr Staley unlawfully took matters into his own hands.
Mr Staley reportedly instructed his security team to identify the whistleblower at all costs, later claiming that he was unaware that, under English law, all companies must take appropriate steps to keep the identities of whistleblowers protected when such matters arise.
Following his inappropriate actions, Mr Staley apologised, admitting that he had “failed to act with due skill, care and diligence.”
Mr Staley was subsequently cleared of strong charges which could have lost him his job – but this decision did not sit well with the media and members of the public, who criticised regulators’ “soft touch” in tackling the matter.
In light of this, it has emerged that regulators will be issuing Mr Staley with a hefty fine, which could add up to somewhere in the region of 10 per cent of his 2016 salary.
On top of this, Barclays is reportedly considering clawing back the boss’ substantial 2016 bonus.
There are rumours, however, that Mr Staley might move to appeal the decision.