Barclays Faces A Big New Investigation In The US – Business Insider
Barclays revealed on Wednesday it was facing a possible fine in the US relating to electricity trading and that it was being investigated by the US Department for Justice and US Securities and Exchange Commission.
The news, reported alongside a third-quarter pre-tax loss, led to a sharp fall in Barclay’s share price on Wednesday.
On top of the recent scandals to hit Barclays, the bank admitted it could be sanctioned as early as today by the US Federal Energy Regulatory Commission.
It follows an investigation into its power trading operations in the western US between 2006 and 2008. The bank said it would “vigorously defend this matter”.
Barclays said the investigation by the DoJ and SEC related to “whether the group’s relationships with third parties who assist Barclays to win or retain business are compliant with the US Foreign Corrupt Practices Act”.