Stop: Jes Staley stepped down after seeing the findings of the inquiry
The Governor of the Financial institution of England summoned the chairman of Barclays to grill him in regards to the hyperlinks between the lender’s then chief government, Jes Staley, and the intercourse offender Jeffrey Epstein, The Mail on Sunday can reveal.
The assembly in 2019 was convened as a result of considerations that Nigel Higgins could have understated the extent of Staley’s relationship with Epstein in a letter he had despatched to regulators.
The existence of the letter has remained secret till now.
Higgins, who continues to be within the chair at Barclays, was grilled by the then governor Mark Carney and Andrew Bailey, who was chief government of the Monetary Conduct Authority on the time, however has since taken the highest job on the Financial institution.
It’s extremely uncommon for the governor to haul up a financial institution chairman for questioning over the conduct of a chief government – indicating the extent of the Financial institution’s disquiet.
Carney stopped wanting telling Higgins to oust Staley. Nevertheless, a supply stated he ‘gave [Higgins] the very clear impression the board would need to take into account the place of their chief government officer’.
Staley solely resigned in November final 12 months after an investigation by Metropolis watchdogs into how he characterised his relationship with the disgraced financier Epstein.
Higgins’s assembly with Financial institution of England chiefs befell nearly two years earlier in December 2019. It’s understood Higgins’s letter was written simply weeks after the dying of Epstein in jail.
The missive is known to have vouched that there was nothing improper within the relationship between Staley and Epstein and to have triggered the probe by regulators that finally led to his departure from the financial institution. The revelations will put a highlight on judgments made by the Barclays board nearly two years earlier than Staley’s departure. Epstein had been a shopper of Staley’s when the latter was a personal banker at JPMorgan. He left the financial institution in 2013.
Staley visited Epstein on his non-public island within the Caribbean on a crusing journey together with his spouse in 2015 – simply months earlier than taking cost of the excessive avenue financial institution.
The investigation into Staley, 65, first grew to become public in early 2020, at which level the board stated it had ‘full confidence’ in him.
He stepped down 4 months in the past upon seeing the findings of the inquiry which aren’t but public.
Staley has at all times insisted he had a purely skilled relationship with Epstein. He intends to contest the conclusions of the probe.
He stated in 2020, ‘with hindsight, with what we all know now, I deeply remorse having any relationship with Jeffrey Epstein’, however added that he had been ‘very clear’.
Barclays stated: ‘It must be famous the investigation makes no findings that Mr Staley noticed, or was conscious of, any of Mr Epstein’s alleged crimes, which was the central query underpinning Barclays’ help for Mr Staley following the arrest of Mr Epstein in summer time 2019.’
The Financial institution of England and the FCA declined to remark.
A spokesman for Staley declined to remark.