Unlock free Digest editor
Roula Khalaf, editor of FT, chooses her favorite story in this weekly newsletter.
Former Barclays chief Jesus Staley discussed Confidential contracts and clients with the late sex offender Jeffrey Epstein, including details of fraudsters Bernard Madoffaccording to a court who filed a financial guard in the UK.
E -Mailove sent by Staley led Epstein’s body for financial behavior as proof that the banker seduced a regulator when he assured that the couple had “did not have a close relationship.”
When Staley worked at JPMORGAN Chase, before joining Barclays, he asked Epstein for advice on how to get a package with higher salaries from his chief Jamie Dimon and shared non-Java details of the US Bank client, FCA said in his written argument against Former Barclaya chief.
Staley launched a legal challenge against FCA decision In 2023, he forbidden him to work in financial services in the UK and fulfill him 1.8 million pounds because he “recklessly seized” and behaving “with a lack of integrity” for the nature of his relationship with Epstein, a client of Wall St.
Staley should testify in that case in March, and is faced with three days when they were examined by FCA lawyers, London’s court heard on Thursday on review.
The regulator said that the traffic details were -the stood between Staley and Epstein, which first appeared American lawsuitHe supported his finding that former Barclaya chief had given “inaccurate and misleading” statements to the British regulator when asked about their relationship.
“Between 2008 and 2011, Staley distributed confidential information relating to his former employer, JPMORGAN with Epstein showing the closeness of their relationship and the willingness of Staley to violate obligations to his employer, including where there was a conflict of interest between JPMORGAN and Epstein” , FCA said.
It was said that Epstein forwarded to Staley E -sted by Larry Summers, former US Treasury Minister, asking: “What is the real story of Madoff? Isn’t JPM better knowing?” Madoff, former US bank client, was is sentenced to 150 In prison in 2009 to orchestrate the Ponzi Scheme of $ 65 billion. He died in 2021.
FCA said Staley replied, “I can’t answer the e -after. He’ll be called”, of which the regulators said he had pointed out “that he was ready to talk about the matter with Mr. Epstein.”
The regulator said that he had discovered evidence that Epstein, who died in prison in 2019 after being arrested on charges of juvenile sex trade, “provided significant support for” Staley’s daughter in her education and career, and she invited him to graduate 2013.
In response to the written argument of FCA, Staley admitted that he shared the information he had shared with Epstein “not public information”, but denied that this was confidential JPMORGAN.
The letter sent by the Barclays FCA -II granted Staley assured the regulator that Staley had stopped contact with Epstein “Panw before”, joined the Bank in 2015.
But the regulator said Staley was in contact with Epstein in the days who led to his appointment for the Barclaya Executive, which was announced in 2015, and the convicted sex offender tried to help him get a job.
In her latest response to the court, FCA claimed that the contact between the two actually continued in “at least” February 2017, using Staley’s daughter Alex as a mediator.
Staley replied that the FCA did not fully take into account the “sporadic nature of” E -Mail’s exchanged between his daughter and Epstein, which took place over a 11 month period and began five months after the last correspondence of the banker with Epstein.
Former Barclaya chief has put an inability to remember the conversation with his daughter Oe -Mailovi on “Passing Time and Professional Obligations.”
Staley lawyers, 68, claim that the FCA process was “dishonest” and that the punishment he said was “rough disproportionate”.
FCA decided to start an investigation without providing Staley the opportunity to explain in her statements to “any obvious inconsistency,” they said.
In the written arguments, Robert Smith KC, for Staley, said that the claim of FCA was in contact with Epstein as early as 2017 through his daughter “not supported by evidence”.
He added that the FCA managed to point out only “a few opportunities” in which the two had communicated socially for almost 10 years.
Staley met Epstein around 1999 while he was the head of the Private Bank of JPMORGAN, whose Epstein was a client. Epstein was convicted of procuring a minor for prostitution and sentenced to 18 months at Florida Prison in 2008.
Leigh-Ann Mulcahy KC, which represents FCA, in legal documents said that Staley’s connection with Epstein “inevitably asked questions about his behavior and judgment.” She said the sanctions were imposed on Staley “suitable” and “proportional.”
