UK watchdog imposes ban and imposes £1.8M fine on Staley due to Epstein connections

Barclays CEO Jes Staley Fined and Banned from Senior Financial Roles

In a significant development, former Barclays CEO Jes Staley has been fined £1.8 million ($2.2 million) and banned from holding senior positions in the financial industry following an investigation by the U.K.'s Financial Conduct Authority (FCA).

The investigation, which began in August 2019, was prompted by concerns about Staley's relationship with the late financier Jeffrey Epstein. Epstein was a client of JPMorgan Chase until 2013.

The FCA found that Staley recklessly approved a misleading letter about his relationship with Epstein. The letter contained two misleading statements about the nature of their relationship and the point of their last contact. The specific last date of contact is not detailed in the results.

Email exchanges between Staley and Epstein have shown Staley describing Epstein as his "deepest" and "most cherished" friend. Staley was aware that links to Epstein posed a risk to his career. However, he did not draft the misleading letter but did not correct misleading information in the letter either.

The FCA also noted that Staley failed to exercise sound judgment and set an example to staff at Barclays. As a result, Barclays should forfeit or be ineligible for deferred bonuses and long-term incentive pay totaling £17.8 million due to the FCA's findings.

JPMorgan, Staley's former employer, agreed to pay $75 million to settle a lawsuit related to Epstein. In a separate development, JPMorgan reached a $290 million settlement with an undisclosed number of victims of sex charges connected to Epstein.

It's important to note that Barclays was not the subject of the FCA probe, and the regulator's decision did not involve any findings against the bank or any of its current directors or employees. No new facts about Barclays or its current directors or employees were mentioned in the article.

Staley, who served as private-banking chief at JPMorgan Chase before his stint at Barclays, expressed disappointment with the FCA's decision and plans to continue challenging it. He was also banned from holding senior positions in the financial industry.

This development marks a significant turn in the saga surrounding Staley and his relationship with Epstein. As the implications of the FCA's decision unfold, it remains to be seen how this will affect Staley's future in the financial industry.

UK watchdog imposes ban and imposes £1.8M fine on Staley due to Epstein connections