Former Barclays boss Jes Staley has lost a legal challenge against a decision to ban him from top financial jobs in the UK over his links to convicted US sex offender Jeffrey Epstein. Mr Staley was forced out in November 2021 after UK regulator, the Financial Conduct Authority (FCA), found he had failed to accurately disclose the nature and length of his relationship with Epstein to the Barclays board and the FCA in 2019. He had been seeking to overturn the 2023 decision by the regulator to ban him and fine him £1.8m, arguing that he had "never attempted to conceal his relationship with Mr Epstein". London's Upper Tribunal dismissed the challenge on Thursday, but it lowered the fine to £1.1m. During the hearing Mr Staley, who ran Barclays from 2015 to 2021, told the tribunal that he had a close professional association with Epstein, but not a close personal friendship. Epstein was found to have killed himself in 2019 while in prison awaiting trial on sex trafficking charges. He was previously convicted in 2008 for soliciting sex from a minor and sentenced to 13 months in prison. Mr Staley told the tribunal he had no idea about Epstein's "monstrous activities". He said he was disappointed with the decision but welcomed the tribunal accepting that he was not dishonest. "I have worked tirelessly for my prior employers for the entirety of my career," he said. "I am proud of the support I gave to many individuals during that career and the strategy I developed to help Barclays when it faced immense challenges." The case centred on a 2019 letter sent by Barclays chair Nigel Higgins to the FCA, which the regulator said contained two misleading statements: that Staley "did not have a close relationship" with Epstein and that their last contact was "well before he joined Barclays in 2015". The FCA said that although he did not draft it personally, Mr Staley had "recklessly" approved the letter. Mr Staley, however, told the tribunal both statements were accurate and that his "close business relationship" with Epstein diminished after he left his previous employer JPMorgan, where Epstein was once a client. Mr Staley had worked at the US investment bank for three decades, including heading up its asset and wealth management division. He said the last time he physically met Epstein was in April 2015. Although Mr Staley said his relationship with Epstein was "not close", a cache of emails released by JPMorgan suggested the opposite. Email exchanges described time spent together at Epstein's properties in New York and on his private island in the US Virgin Islands, and showed Mr Staley had described Epstein as one of his "deepest" and "most cherished" friends. In a now infamous email thread Mr Staley remarked to Epstein: "That was fun, say 'Hi' to Snow White". Epstein replied: "What character would you like next?" To which Mr Staley responded: "Beauty and the beast!" In addition, the emails showed Mr Staley had been in contact with Epstein in the days leading up to his appointment as Barclays chief executive being announced on 28 October 2015. Mr Staley has consistently denied knowing anything about Epstein's crimes.
Ex-Barclays boss fails to overturn City job ban over Epstein link
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"Jes Staley Loses Appeal Against UK Job Ban Linked to Jeffrey Epstein"
Bbc News
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TruthLens AI Summary
Jes Staley, the former CEO of Barclays, has faced a significant legal setback as he attempts to overturn a ban from holding senior financial positions in the UK due to his association with Jeffrey Epstein, a convicted sex offender. Staley was dismissed from his position in November 2021 after the UK's Financial Conduct Authority (FCA) determined that he had not accurately disclosed details regarding his relationship with Epstein to both the Barclays board and the FCA in 2019. Staley's legal challenge was aimed at reversing the FCA's 2023 decision, which not only imposed a ban but also included a fine of £1.8 million. However, the Upper Tribunal in London dismissed his appeal but reduced the fine to £1.1 million. During the proceedings, Staley characterized his relationship with Epstein as a close professional association rather than a personal friendship, asserting that he was unaware of Epstein's criminal activities. He expressed disappointment with the ruling but noted that the tribunal acknowledged he had not acted dishonestly in the matter.
The core of the case revolved around a letter sent to the FCA in 2019 by Barclays chair Nigel Higgins, which the regulator labeled as misleading. The FCA claimed Staley had 'recklessly' approved the letter, which stated that he did not have a close relationship with Epstein and that their last contact occurred before he joined Barclays in 2015. Staley defended the accuracy of these statements, arguing that his professional ties with Epstein had diminished after his tenure at JPMorgan, where Epstein was a client. Nonetheless, emails released by JPMorgan contradicted Staley's claims, revealing intimate exchanges that suggested a closer relationship than he acknowledged. These communications included Staley referring to Epstein as one of his 'deepest' friends and engaging in light-hearted banter. This evidence, coupled with Staley's ongoing denial of any knowledge regarding Epstein's illicit activities, paints a complex picture of his involvement with the disgraced financier, ultimately leading to the regulatory actions against him.
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