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Former Barclays Chief Jesi Staley discussed confidential agreements and clients with the late sex offender Jeffrey Epstein, including details about Bernard Madoff fraud, according to a trial filed by the United Kingdom Financial Supervisor.
The Staley emails sent to Epstein were quoted by the financial behavior authority as evidence that the banker had deceived the regulator when he provided what the pair “did not have a close relationship”.
When Staley worked at JPMORGAN Chase, before joining Barclays, he asked Epstein for tips on how to get a higher salary package from his boss Jamie Dimon, and shared non-public details of a US bank client , FCA said in her argument written against the chief of former -barclays.
Staley has launched a legal challenge against the FCA decision in 2023 to stop him from working on the UK financial services and to shoot him 1.8m to “recklessly” and act with lack of integrity “On the nature of his relationship with Epste, a Wall St Bank client.
Staley will testify to the case in March and confronts for three days being examined by FCA lawyers, a London court heard on Thursday in a pre-trial summary.
The regulator said the details of e -mail traffic between Staley and Epstein, which first came to light in a US lawsuit, supported his finding that the former Barclays chief had provided “incorrect and misleading” statements to the Kingdom’s regulator United when asked about their relationships.
“Between 2008 and 2011, Staley shared confidential information about his former employer, Jpmorgan with Epste, showing the proximity of their relationship and Staley’s willingness to violate the obligations you owe him.
She said Epstein conveyed Staley an email written by Larry Summers, former US Treasury Secretary, asking: “What is the real story in Madoff? Shouldn’t JPM know better? “Madoff, a former US bank leader, was sentenced to 150 years in prison in 2009 for the orchestration of a Ponzi $ 65bn scheme. He died in 2021.
FCA said that Staley responded, “I can’t answer the email. It will call”, to which regulators said “he was prepared to discuss the matter with Mr. Epstein”.
The regulator said he found evidence that Epstein, who died in prison in 2019 after being arrested on charges of sex trafficking juveniles, had “offered considerable support” for Staley’s daughter in her education and career and she invited She in her graduation in 2013.
In response to the written argument of FCA, Staley acknowledged that the information he shared with Epstein was “not public information”, but denied that it was confidential to JPMORGA.
A letter sent by Barclays to FCA and approved by Staley had provided the regulator that Staley ceased contact with Epstein “Money” he joined the bank in 2015.
But the regulator said that Staley was in contact with Epste in the days that led to his appointment after the chief executive of Barclays was announced in 2015 and the convicted sex offender had tried to help him get the job.
In her latest response to court, FCA claimed that contact between the two men had actually continued in “At least February 2017, using Staley Alexa’s daughter as a mediator.
Staley has responded that FCA did not fully consider the “sporadic nature” of electronic posts exchanged between his daughter and Epstein, which took place over a period of 11 months and began five months after the banker’s latest correspondence with Epstein.
The former Barclays chief decided his inability to remember conversations with his daughter about emails in “the passage of time and his professional commitments”.
Lawyers for Staley, 68, argue that the FCA process was “unfair” and that the punishment he imposed was “extremely disproportionate”.
FCA decided to launch an investigation without giving Staley an opportunity to give an explanation of “any obvious discrepancies” in his statements, they said.
In the written arguments, Robert Smith Kc, for Staley, said FCA’s claim that Staley was in contact with Epste that in 2017 through his daughter was not “supporting from evidence”.
He added that FCA had been able to show only “a small portion of the cases” in which the two interacts socially for nearly 10 years.
Staley met Epstein in about 1999 while the head of the JPMORGA private bank, from which Epstein was a client. Epstein was convicted of procuring a minor for prostitution and sentenced to 18 months in a prison in Florida in 2008.
Leigh-Ann Mulcahy KC, representing the FCA, said in legal documents that Staley’s association with Epstein “inevitably raised questions about his behavior and judgment.” She said the sanctions set to Staley were “convenient” and “proportional”.
