Barclays punished with a fine of 42 million GBP for failed money washes

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Barclays handed over a fine of 42 million GBP to non-observance of the risk of money laundering, also in a case that has involved the former son-in-law of the Formula 1 Magnatia Bernie Ecclestone.

The Financial Conduct Authority punished Barclays on Wednesday in two major cases in connection with criminal proceedings. It is the third time in a decade that the bank affected the expectations of the regulatory authority to the management of financial criminal risks.

In the latest authority, the FCA found that Barclays had opened a customer money account for WEALTH Manager WELTHEK that has been since then switch off for “serious regulatory and operational problems”.

“A simple check that could have done was to look at the financial services register before it opened the account.

Barclays has agreed to make a payment of 6.3 million GBP to WELTHTEK’s customers who were unable to regain all the money that they lost, the supervisory authority said.

The results are an embarrassing blow for barclays, since the top -class collapse of WELTHTEK from the FCA was described as “one of the most serious and greatest scams we have ever examined”.

The watchdog has brought criminals Charge against John DanceThe former WELTHTEK boss accused 64 million of the GBP to customer funds who were taken by his asset management company for the purchase of price tracks and a night club in Newcastle.

In February, Dance did not guilty of three fraud cases through misuse of position and three fraud cases through false representation, and legal proceedings were determined for September 2027.

In the second case, the FCA said, Barclays, Stunt & Co, who received 46.8 million GBP from Fowler Oldfield, said “a multimillion-pound money laundering”.

Stunt & Co is the company of James StuntEcclestone’s former son -in -law. At the beginning of this year he was freed from criminal charges in a court proceedings. Jurors were announced that Stunt had started a joint venture with Fowler Oldfield, which prosecutors described as a “goal” for criminals. Two fowler Oldfield Directors were convicted of money laundering.

The watchdog said that Barclays described his relationship with Stunt & Co in 2015 as a “low risk”, which gave no information about the type of business, the source of his assets and its funds and the money laundering risks were adequately evaluated.

Natwest was also pulled into the scandal. It was Finish fine almost 265 million GBP In 2021, after the lender had admitted to violate money laundering and not to prevent the money laundering program.

Although the police were announced in 2016 that the offices of Stunt & Co and Fowler Oldfield had been searched – 12 with the latter’s premises, Barclays did not increase the risk assessment of James Stunt or its company accounts, said the FCA. The police also noticed the “close connection” between Stunt & Co and Fowler Oldfield.

The FCA said: “With the provision of ongoing banking services for Stunt & Co, Barclays has made it easier to move funds in connection with financial crime.”

The accounts of Barclays concluded the Stunt & Co accounts in 2020, but only carried out a significant examination by Stunt & Co after he found out that Natwest was charged with Fowler Oldfield, the FCA found.

The FCA previously occupied Barclays for failure to control financial crime. In 2015, the bank paid 72 million GBP about such a large transaction that it was described an “elephant contract” The Financial Times previously reported by the employees of Barclays, which were associated with top -class Qatarian customers. Then Barclays was occupied in 2022 because of his relationship with the failed payment company Premier FX.

The FCA said that Barclays “continues to invest and invest in an important renovation program” to improve the fight against money laundering.

Barclays said “the fight against financial crime and fraud was deeply committed”. It also added that Stunt & Co’s investigation “concentrated on historical money laundering activity” and did not find that Barclays had violated money laundering regulations.

The bank said that it worked with the investigation and “further strengthened its financial crime and other control skills”.

This article has been changed since the publication to clarify that the accounts of Barclays Stunt & Co were closed in 2020.