LONDON: Barclays and four former top executives were charged with fraud on Tuesday over undisclosed payments to Qatari investors as part of a £12 billion ($15 billion) emergency fundraising during the financial crisis in 2008.
Britain’s Serious Fraud Office (SFO) charged Barclays Plc, former Chief Executive John Varley, Roger Jenkins, Tom Kalaris and Richard Boath with conspiracy to commit fraud and unlawful financial assistance in its first criminal prosecution of a bank and senior managers over events during the credit crisis.
Barclays said it was considering its position and awaiting further information about the charges, which follow a five-year inquiry into how it avoided the fate of Lloyds and Royal Bank of Scotland (RBS) by averting a state bailout.
The SFO charged Varley, Jenkins, the ex-chairman of its Middle East investment banking arm, Kalaris, a former CEO of the bank’s wealth division and Boath, a former European head of financial institutions, after investigating a two-part fundraising that included a $3 billion loan to Qatar.
A lawyer for Jenkins said he would “vigorously defend” himself, adding his client had received both internal and external legal advice at the time.
Boath said he had no case to answer as he had repeatedly raised concerns about decisions taken by the bank at the time with both senior management and senior lawyers and had been reassured the decisions were lawful.
“The SFO’s decision to charge me is based on a false understanding of my role and the facts. I was not a decision-maker and had no control over what the bank did in 2008,” he said in a statement.
“The evidence I have supplied is very clear: There is no case for me to answer.”
A lawyer representing Varley, who resigned as a Rio Tinto senior independent director with immediate effect following the SFO charges, declined to comment. A lawyer for Kalaris could not immediately be reached for comment.
Each offense of fraud by false representation carries a maximum jail sentence of 10 years. Barclays faces a fine.
The men have been told to appear before Westminster Magistrates’ Court on July 3.
The case centers on agreements between Barclays and Qatari investors during two fundraisings in June and October 2008.
Qatar Holding, part of the Qatar Investment Authority (QIA) sovereign wealth fund, and Challenger, an investment vehicle of former Qatari Prime Minister Sheikh Hamad bin Jassim bin Jabr Al-Thani, invested around £5.3 billion in Barclays.
Authorities have examined whether payments from Barclays to Qatar at the same time, such as around £322 million in “advisory services agreements” (ASA), alongside the $3 billion loan, were honest and properly disclosed.
Varley and Jenkins have been charged with conspiracy to commit fraud by false representation during the June 2008 capital raising as well as the November 2008 fundraising. They also face a charge of unlawful financial assistance.
Kalaris and Boath have been charged with conspiracy to commit fraud by false representation during the June capital raising, the SFO said.
Qatar, which is a major UK investor, has not been accused of wrongdoing.
The criminal charge is a reputational blow to Barclays, which is grappling with a string of other legal problems.
In a separate case, it is contesting a $1 billion civil lawsuit from businesswoman Amanda Staveley, who arranged an investment in Barclays from Abu Dhabi investors during the financial crisis.
In 2013 the Financial Conduct Authority (FCA) proposed a £50 million fine over how Barclays made disclosures about its dealings with Qatar in an investigation that has been on hold pending the outcome of the SFO’s probe.
“We are pleased that this matter, which led to the stay of our own case, is now in the public domain. We welcome a fair and transparent hearing on the basis of the charges set out today by the SFO,” it said in a statement.
Away from Qatar, Barclays current CEO Jes Staley, who joined the bank in late 2015, is under investigation for attempting to unmask an internal whistleblower.
Qatar, meanwhile, has made a healthy profit from its investment and remains Barclays’ biggest shareholder, with a stake of around 6 percent, according to Thomson Reuters data.
Britain charges Barclays, ex-bosses over ‘unlawful’ Qatari deal
Britain charges Barclays, ex-bosses over ‘unlawful’ Qatari deal

Bridge collapse causes train to derail in Russia’s Bryansk region, killing at least 7 people

- Moscow Railways blamed the bridge collapse on “illegal interference”
- The bridge is in Russia’s Bryansk region, which borders Ukraine
MOSCOW: A passenger train derailed in western Russia late Saturday after a bridge collapsed because of what local officials described as “illegal interference,” killing at least seven people and injuring 30.
The bridge in Russia’s Bryansk region, which borders Ukraine, was damaged “as a result of illegal interference in transport operations,” Moscow Railways said in a statement, without elaborating.
Russia’s federal road transportation agency, Rosavtodor, said the destroyed bridge passed above the railway tracks where the train was traveling.
Photos posted by government agencies from the scene appeared to show passenger cars from the train ripped apart and lying amid fallen concrete from the collapsed bridge. Other footage on social media appeared to be taken from inside other vehicles that narrowly avoided driving onto the bridge before it collapsed.
Bryansk regional Gov. Alexander Bogomaz said emergency services and government officials were working at the scene. He said seven people died and two children were among the 30 injured.
“Everything is being done to provide all necessary assistance to the victims,” he said. Russian officials have not said who is responsible for Saturday’s incident, but in the past some officials have accused pro-Ukrainian saboteurs of attacking Russia’s railway infrastructure. The details surrounding such incidents, however, are limited and cannot be independently verified.
Ukrainian media outlets reported in December 2023 that Kyiv’s top spy agency had successfully carried out two explosions on a railroad line in Siberia that serves as a key conduit for trade between Russia and China. Ukraine’s security services did not comment on the reports.
Russian Railways confirmed one of the explosions described by Ukrainian media, but did not say what had caused it. There was no comment from Russian authorities on a second explosion.
Scottie Scheffler has flawless card and surges into lead at the Memorial

- Scheffler birdied four of his last five holes, finishing with a birdie from just inside 15 feet
DUBLIN, Ohio: Scottie Scheffler was at his best on a tough day at Muirfield Village, opening with 13 straight pars and then pouring it on at the end for a 4-under 68 that gave him a one-shot lead Saturday over Ben Griffin at the Memorial.
Scheffler birdied four of his last five holes, finishing with a birdie from just inside 15 feet. He took the lead when Griffin missed a 3-foot par putt on the final hole.
At stake for Scheffler is a chance to win for the third time in his last four tournaments and join Tiger Woods as the only back-to-back winners at the Memorial.
“I don’t know what the scoring average was today, but I was definitely proud of the way I finished and it was really challenging,” Scheffler said. “Through 13 holes, I felt like I was playing really good and I was only even par. Just a hard course.”
The scoring average for the 57 players who made the cut was 73.9, and three players failed to break 80. Scheffler, the only player to break par all three rounds, was at 8-under 208.
Griffin, who won last week at Colonial, made five birdies and five bogeys over his last 13 holes.
Scheffler was six shots behind Griffin at one point in the cool, blustery weather. And then it all changed so quickly.
Griffin, who became the only player this week to reach 10-under par when he ran off three straight birdies, gave it all back with four straight bogeys. He was in the fairway or on the tee when he made three of those bogeys.
Scheffler was lurking, as always. The world’s No. 1 player has an uncanny knack of hanging around and winding up with the low score by the end of the day. This was no exception.
“I did see that Ben got to 10 under, but it’s not going to change my play in the middle of a Saturday,” Scheffler said. “This golf course is really challenging and no lead’s safe around this place. I knew if I kept going and played a decent round, I would be in somewhat of a position to chase him down tomorrow.”
He holed a 10-foot birdie putt on the 14th — his first of the day — followed getting on the collar of the green at the par-5 15th for a simple birdie. He hit 7-iron into the wind to 8 feet for birdie and closed with the last one that gave him the lead.
He’s no longer chasing, and he’s a tough customer to track down. Scheffler has won the last eight times when he held the 54-hole lead.
Jordan Spieth also was in the chase, tied with Scheffler in second place at one point, until he failed to save par from a bunker on the 17th and drove into the creek on the 18th for a closing bogey and a 72. He was five shots behind, feeling better about his game.
There was just one problem. Spieth talked about the fun of being in the mix, of making six birdies on a tough course, of needing to keep moving in that direction. And then he paused.
“The bummer for me is Scottie’s at 7 or 8 (under) and he just ... you can’t count on him shooting even tomorrow,” Spieth said. “So it would take something special. But all in all, just trying to shoot a few under each day out here.”
Nick Taylor of Canada wound up three shots behind after a 74, and for that he was thankful at the end. Taylor went into the water and made double bogey on the diabolical par-3 12th, followed that with a bogey and was sliding out of contention. And then he holed out from fairway for eagle at the 14th, birdied the next hole and played that four-stretch in even par.
The best round belonged to Sepp Straka, a two-time winner on the PGA Tour this year. He posted a 66 as the leaders were just getting started and was in the group at 3-under 213 that included Spieth and Ryder Cup captain Keegan Bradley (68).
Patrick Cantlay and Rickie Fowler each shot 69 and joined Shane Lowry (73) at 214. It’s a long way off, and it can feel even longer with Scheffler the one they are chasing.
“It’s a tough golf course. I’ll be trying to chase him down,” Taylor said. “He’s obviously playing phenomenal, so I’ll have to play some of my best golf to be in the hunt there with the last few holes to go. But it is playing so difficult that being a few under early will get me back in there.”
Paris erupts in euphoria before skirmishes as PSG win Champions League

- Some 5,400 police were deployed across Paris in anticipation of raucous celebrations
- Police had made more than 130 arrests by shortly after midnight
PARIS: Wild celebrations erupted across the French capital on Saturday after Paris St. Germain crushed Italian opponents Inter Milan to win the Champions League for the first time, although skirmishes with police later threatened to spoil the party.
On the Champs Elysees, bus shelters were smashed up and projectiles hurled at riot police, who fired tear gas and water canons to push back surging crowds as thousands of supporters descended on the boutique-lined boulevard.
There were also clashes with police on the Paris ring road and at least two cars were torched near PSG’s Parc des Princes stadium.
Inside the stadium, transformed into a giant fan zone for the night, 48,000 people let out a roar of ecstasy at the final whistle in Munich.
“Total euphoria, crazy atmosphere,” said Gilles Gailliot who had been watching the game in the Paris stadium. “It made up for the wait and the years of disappointment. Finally Paris and its supporters have been rewarded,” Gailliot added.

Parisians set off fireworks and hung out of moving cars waving PSG scarves, delighting in their side’s first victory in European soccer’s top competition.
Nearby, the Eiffel Tower lit up in PSG’s blue and red colors.
“I couldn’t dream of a better night,” said 18-year-old Amine. “Let’s spare a thought for Mbappe.”
France striker Kylian Mbappe left PSG for Spanish club Real Madrid last year in pursuit of Champions League glory.
Arrests
Some 5,400 police were deployed across Paris in anticipation of raucous celebrations.
Interior Minister Bruno Retailleau urged a zero-tolerance approach to maintaining order amid the celebrations.
“True PSG supporters are enjoying their team’s magnificent match. Meanwhile, barbarians have taken to the streets of Paris to commit crimes and provoke the police,” the minister tweeted.
Police had made more than 130 arrests by shortly after midnight.

PSG playmaker Ousmane Dembele urged supporters to keep the party festive.
“Let’s celebrate this but not tear everything up in Paris,” Dembele told Canal+.
French President Emmanuel Macron, an ardent supporter of Olympique de Marseille, tweeted: “A glorious day for PSG! Bravo, we are all proud. Paris, the capital of Europe this evening.”
Macron’s office said the president would receive the players at the Elysee Palace on Sunday. The team are also expected to parade down the Champs Elysees.
PSG lost the final to Bayern Munich in 2020 and had teetered on the brink of elimination in the league phase this season before claiming the trophy their deep-pocketed Qatari owners had craved.
On the streets, fans lauded the exploits of Desire Doue, who scored twice, and manager Luis Enrique.
“What (Doue) did tonight is crazy but it is all thanks to Luis Enrique. The guy came and he changed everything,” supporter Francis Delert said.
UK faces choice next week between health and other spending, IFS think tank warns

- The non-partisan IFS said this spending review could prove to be “one of the most significant domestic policy events” for the current Labour government
LONDON: British finance minister Rachel Reeves’ key decision in next week’s multi-year spending review will be how much to spend on health care versus other public services, the Institute for Fiscal Studies think tank said on Sunday.
Reeves is due to set out day-to-day spending limits for other government departments on June 11 which will run through to the end of March 2029 — almost until the end of the Labour government’s expected term in office.
Britain has held periodic government spending reviews since 1998, but this is the first since 2015 to cover multiple years, other than one in 2021 focused on the COVID pandemic.
The non-partisan IFS said this spending review could prove to be “one of the most significant domestic policy events” for the current Labour government.
Prime Minister Keir Starmer’s announcement in February that defense spending would reach 2.5 percent of national income by 2027 had already used the room for further growth in public investment created in Reeves’ October budget, it said.
“Simultaneously prioritising additional investments in public services, net zero and growth-friendly areas ... will be impossible,” said Bee Boileau, a research economist at the IFS.
Non-investment public spending is intended to rise by 1.2 percent a year on top of inflation between 2026-27 and 2028-29, according to budget plans which Reeves set out in October — half the pace of spending growth in the current and previous financial year.
The IFS sees no scope for this to be topped up, as Reeves’ budget rules leave almost no room for extra borrowing and tax rises are now limited to her annual budget statement.
This forces Reeves and Starmer to choose between the demands of the public health care system — plagued by long waiting times and a slump in productivity since the COVID-19 pandemic — and other stretched areas.
In past spending reviews, annual health care spending has typically risen 2 percentage points faster than total spending.
If that happened this time — equivalent to an annual increase of 3.4 percent — spending in other departments would have to fall by 1 percent a year in real terms, the IFS forecast.
Raising health care spending at roughly the same pace as other areas — a 1.2 percent rise — would only just keep pace with an aging population and not allow any reversal of recent years’ deterioration in service quality, the IFS said.
Spending cuts could be achieved by scaling back services provided by the state, reducing public-sector employment or real-terms cuts in public-sector pay, it added.
But it warned the government needed to be specific about how it planned to make cuts, or risk financial markets losing confidence in its ability to keep borrowing under control.
The review does not cover spending on pensions or other benefits, which the government is tackling separately.
PSG’s Champions League hero Doue says ‘dream becomes reality’

- The 19-year-old lit up scored twice and provided an assist as PSG routed Inter Milan 5-0
- German police have to hold back PSG fans as they tried to rush the field
MUNICH, Germany: Paris Saint-Germain’s double goal-scoring hero Desire Doue said “a dream has become reality” after Saturday’s Champions League triumph.
The 19-year-old lit up Munich’s Allianz Arena, scoring twice and providing an assist as PSG routed Inter Milan 5-0.
“I don’t have the words,” said the French teenager.

“Thanks to the Parc (des Princes, PSG’s home stadium), thanks Paris.
“A dream has become reality. It’s just magnificent. It’s crazy, I’m so happy.
“It’s just the beginning.”
PSG have been guided to the continental crown for the first time in their history by Spanish coach Luis Enrique.
“It’s time to have a big party,” said Luis Enrique, who also won the Champions League with Barcelona 10 years ago.
“We have to make the most of this moment,” added the 55-year-old.
“I feel this connection with the players and the supporters, it’s very strong. It’s a great moment, we deserve it. We managed to control the tension.”

Unruly fans held back
Thousands of euphoric PSG fans had to be held back by a line of police they tried to rush the field in jubilation.
Police lined up in front of the PSG end of the Allianz Arena stadium at the final whistle but struggled to contain the fans for several minutes when they came down from the stands following the trophy presentation.
They did eventually manage to force them back into the stands, and PSG players had already headed back to the locker room, appearing to cut short celebrations in front of their supporters.
Players eventually made their way back to the field with the trophy after order was restored.
PSG fans dominated the occasion, drowning out Inter supporters, many of whom had left long before the final whistle after seeing their team blown away by the French champion.