Ex-Barclays and JP Morgan boss Jes Staley is fined £1.8m and banned from City over Jeffrey Epstein scandal

Former Barclays boss Jes Staley was today fined £1.8m by the Financial Conduct Authority and banned from the City after he ‘recklessly misled’ the watchdog about his relationship with Jeffrey Epstein.

The FCA said Mr. Staley approved a letter sent by Barclays to the regulator, which alleged that the bank’s former boss did not have a close relationship with financier Mr. Epstein, who killed himself in an American prison in 2019.

In fact, Mr Staley described Epstein in emails as one of his ‘deepest’ and ‘most cherished’ friends.

Barclays said it had decided following the FCA’s decision that Jes Staley was ineligible for, or would forfeit, bonuses and share awards totaling £17.8m.

It has already Mr. Staley’s deferred bonuses and long-term stock awards were suspended while the watchdog investigated.

Therese Chambers, joint executive director of enforcement and market surveillance at the FCA, said: “A CEO (chief executive officer) must exercise sound judgment and set an example for staff at their firm. Mr Staley failed to do so.

‘We believe that he misled both the FCA and the Barclays board about the nature of his relationship with Mr Epstein. Mr. Staley is a seasoned industry professional and has held a prominent position within financial services.

“It is right to prevent him from holding a senior position in the financial services industry if we cannot rely on him to act with integrity in revealing uncomfortable truths about his close personal relationship with Mr Epstein.”

The FCA’s decision is provisional and Mr Staley will present his case at a subsequent tribunal.

A spokesman for the Bank of England’s Prudential Regulation Authority said: ‘We support the FCA’s decision announced today against Jes Staley.

‘It is essential that senior managers act with integrity and are open and co-operative with the regulators.’