Barclays facing $56M fine over Qatari investor disclosures

The U.K. Financial Conduct Authority (FCA) provisionally notified Barclays it intends to fine the bank 50 million pounds (U.S. $56 million) for failing to properly disclose financial arrangements made with Qatari investors in 2008.

The FCA said Friday in a press release the fine is provisional because it hinges on a decision by the Upper Tribunal, which will rule on whether the regulator’s proposed penalty should be upheld.

The FCA said Barclays raised capital funds in June and October 2008, during the worldwide financial crisis, in a manner that was “reckless and lacked integrity.” Barclays entered into two advisory agreements with Qatari entities that involved payments of £322 million (U.S. $363 million) over three and five years, respectively, part of a plan to raise up to £11.8 billion (U.S. $13.3 million) in funds, according to the regulator’s decision notice.