Barclays fraud bank’s boss gets millions

Bob Diamond cartoon

By Tony Patey in Britain:

Barclays bungs Diamond £2m on his way out

Tuesday 10 July 2012

by Tony Patey

Barclays boss Bob Diamond walked out of his job at £40,000 a footstep, it was revealed today, a week after he quit amid a rate-rigging scandal.

Mr Diamond – who has already raked in millions as a high-flying banker – is expected to receive £2 million after deciding to forego a potential £20m in bonuses and share awards.

So when he walked out – with immediate effect – of Barclays’ headquarters in Canary Wharf he took the lift from his 31st-floor office and made £40,000 a stride as he went 50 metres to the door.

He has agreed to take up to 12 months’ salary, his pension allowance and other benefits, the bank said in a statement, which works out to around £2m.

Unreality also extended to the world of No 10.

Asked about Mr Diamond’s pay-off, Prime Minister David Cameron’s official spokesman said: “This is a decision for Bob Diamond and for the board of Barclays.

“I think the decision to forgo the bonus is a sign that they understand public concerns and that they understand that there is a need for a change in the culture of banks.”

Barclays chairman Marcus Agius told the Treasury select committee that Mr Diamond had voluntarily decided to forego any deferred consideration and any deferred bonuses worth up to £20m.

Both resigned last week over revelations that Barclays traders attempted to manipulate the key inter-bank lending rate Libor, but Mr Agius is staying on to lead the search for Mr Diamond’s replacement.

The bank was fined £290m for attempting to fix Libor.

It is thought Barclays remains in talks with Mr Diamond’s right-hand man, chief operating officer Jerry del Missier, over his pay-off. He quit the same day as Mr Diamond.

As big banks face the fallout from a global investigation into interest rate manipulation, American and British lawmakers are scrutinizing regulators who failed to take action that might have prevented years of illegal activity: here.

The latest annual study by Democratic Audit depicts important aspects of the decay of democratic rule in Britain under the impact of a growing divide between rich and poor: here.

Barclays bank boss resigns in scandal

This video is called How Barclays manipulated the libor rates.

From daily The Guardian in England:

Barclays chief executive Bob Diamond resigns

Jill Treanor, City editor

Tuesday 3 July 2012 08.45 BST

Barclays chief executive Bob Diamond has resigned following the interest rate manipulation scandal

Bob Diamond has resigned from Barclays in the face of relentless political pressure for him to go following the interest rate manipulation scandal.

An attempt by the board to save his position by accepting the resignation of the chairman, Marcus Agius, on Monday has failed. Instead Agius will now become full-time chairman and lead the search for a new chief executive.

In a stunning turnaround – only on Monday the 60-year old chief executive was vowing to stayDiamond is to go immediately after a 15-year career with the bank and only 18 months as chief executive.

Latest developments as Barclays chief executive steps down: here.

The move comes after Barclays was fined £290 million by UK and US regulators for manipulating the Libor, the rate at which banks lend to each other: here.

See also here.

The latest “crunch” EU summit at the end of June landed Italy’s citizens with a huge bill to bail out the banks yet again: here.