Latest news with #James Stunt
Telegraph
6 days ago
- Business
- Telegraph
Barclays fined £42m over fraud linked to Bernie Ecclestone's former son-in-law
Barclays has been fined £42m for money-laundering failings in a case linked to Bernie Ecclestone's former son-in-law. The Financial Conduct Authority (FCA) said the bank suffered multiple 'failings in its financial crime risk management' while providing services to Stunt & Co, a gold bullion trader started by James Stunt. Mr Stunt is a London socialite and art collector who was married to Petra Ecclestone between 2011 and 2017. His business was found to be at the centre of a £266m money-laundering scheme and he was prosecuted as a result of his involvement. However, he was ultimately acquitted this year following a five-month trial at Leeds Crown Court. Four others involved in the scheme were separately convicted in March for their roles in what has been described as one of the largest money-laundering operations ever discovered in Britain. Police said the illicit funds were linked to organised crime, including drug dealing. The FCA said Barclays failed to collect sufficient information about the source of £46.8m worth of funds paid into Stunt & Co's account by another firm, Bradford jeweller Fowler Oldfield. The funds were later revealed to be the proceeds of crime. Barclays failed to monitor ongoing risks linked to Stunt & Co even after being informed that the company's offices had been raided by police, the watchdog said. Instead, the bank gave Stunt & Co's account a 'low-risk' rating, even after it became aware of the money-laundering investigations. Barclays only reviewed its relationship with Stunt & Co after it learnt of the FCA's decision to prosecute NatWest over its links to Fowler Oldfield. NatWest was subsequently fined £264.8m in 2021. The FCA also fined Barclays for failing to properly monitor wealth management firm WealthTek, whose founder has been accused of running one of the 'most serious and largest frauds' the City watchdog has ever investigated. John Dance, WealthTek's founder and a former DJ, has been accused of taking more than £64m from clients to fund a lavish lifestyle. This includes allegedly using funds to buy a nightclub and six racehorses including Bravemansgame, which won the King George VI Chase race at Kempton in 2022. Mr Dance faces fraud and money-laundering charges, with a court date set for September 2027. He has denied the charges. Barclays failed to collect sufficient information about WealthTek before giving it an account, meaning it missed a notice that the FCA had blocked the wealth management company from handling client money. Therese Chambers, of the FCA, said: 'The consequences of poor financial crime controls are very real – they allow criminals to launder the proceeds of their crimes and they allow fraudsters to defraud consumers. 'Banks need to take responsibility and act promptly, particularly when obvious risks are brought to their attention.' A Barclays spokesman said: 'Barclays remains deeply committed to the fight against financial crime and fraud. 'The FCA's investigation relating to Stunt & Co was centred around historical money-laundering activity and made no findings that the bank had breached money-laundering regulations. 'As acknowledged by the FCA, Barclays undertook an extensive review and self-reported its findings to the FCA. Barclays fully co-operated with both investigations and has further strengthened its financial crime and other control capabilities.'
Daily Mail
6 days ago
- Business
- Daily Mail
Barclays slapped with £42m fine over money laundering risk failures
Barclays has been fined £42million by Britain's financial watchdog over its 'poor handling' of money laundering risks. The Financial Conduct Authority on Wednesday imposed fines related to two separate failings linked to Barclays' dealings with wealth manager WealthTek and gold bullion business Stunt & Co. Both failed businesses have been the subject of criminal investigations. The FCA fined Barclays £39.3million for 'failing to adequately manage money laundering risks' related to providing banking services to Stunt & Co, which was run by socialite James Stunt. Barclays 'did not gather enough information' after starting its relationship with the business and did not carry out 'proper' ongoing monitoring, the FCA said. During this period, Stunt & Co received £46.8million from Fowler Oldfield, a 'multimillion-pound money laundering operation'. The FCA said Barclays failed to properly consider the money laundering risks 'even after receiving information from law enforcement about suspected money laundering through Fowler Oldfield, and after learning that the police had raided both firms'. In March, James Stunt was cleared of taking part in a £200million money laundering plot. Barclays was fined a further £3.1million after it failed to check it had enough information to understand the money laundering risk before opening a client money account for now-collapsed WealthTek, the FCA said. It said the lender failed to recognise that WealthTek was not permitted by the FCA to hold client money, before clients deposited £34million into the firm's account. Barclays has agreed to make a voluntary payment of £6.3million to WealthTek's clients who are facing a shortfall. Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said: 'The consequences of poor financial crime controls are very real – they allow criminals to launder the proceeds of their crimes, and they allow fraudsters to defraud consumers. 'Banks need to take responsibility and act promptly, particularly when obvious risks are brought to their attention. 'In the first of these cases, Barclays secured a significant reduction in its fine through its extensive co-operation with our investigation and through making a voluntary payment to affected consumers at our request.' A spokesperson for Barclays told This is Money: 'Barclays remains deeply committed to the fight against financial crime and fraud. 'The FCA's investigation relating to Stunt & Co was centred around historical money laundering activity and made no findings that the bank had breached money laundering regulations. 'As acknowledged by the FCA, Barclays undertook an extensive review and self-reported its findings to the FCA. 'Barclays fully cooperated with both investigations and has further strengthened its financial crime and other control capabilities.' The FCA flagged financial crime as a key supervisory focus for UK retail banks in 2024 and said it would continue pushing firms to improve systems and oversight. Last year, the FCSA fined Barclays £40million over the bank's conduct during a fundraising drive in 2008, which it described as 'reckless' and lacking integrity. The FCA said the bank failed to disclose arrangements with Qatari investors when it was looking to raise money at the height of the financial crisis. Earlier this month, Monzo was fined £21million by the FCA over weak financial crime controls, after it allowed customers to register for accounts with 'implausible' home addresses including 10 Downing Street, Buckingham Palace and Monzo's own headquarters.
Times
6 days ago
- Business
- Times
Barclays fined £39m for poor handling of risk over James Stunt company
Barclays has become embroiled in the fallout from the Fowler Oldfield money laundering scandal as the bank was fined £39.3 million for failing to tackle financial crime risks in its dealings with a company owned by the socialite James Stunt. The Financial Conduct Authority said on Wednesday that Barclays had continued to serve Stunt & Co, whose sole shareholder is Stunt, a former son-in-law of the Formula 1 tycoon Bernie Ecclestone, despite being aware of 'multiple risks'. Stunt & Co received £46.8 million in electronic transfers to its Barclays account from Fowler Oldfield, a Bradford-based jewellery company, between July 2015 and August 2016. Two directors of Fowler Oldfield were convicted this year of money laundering and the FCA said it considered the £46.8 million received by Stunt & Co to be the proceeds of crime.
Yahoo
6 days ago
- Business
- Yahoo
Barclays fined £42m by watchdog over money laundering checks
The financial watchdog has fined banking giant Barclays £42 million over its 'poor handling' of money laundering risks. The Financial Conduct Authority (FCA) said the fines related to separate failings linked to the WealthTek and Stunt & Co businesses. It fined Barclays Bank £39.3 million for 'failing to adequately manage money laundering risks' related to providing banking services to Stunt & Co, the firm run by socialite James Stunt. Barclays 'did not gather enough information' after starting its relationship with the business and did not carry out 'proper' ongoing monitoring, the FCA said. During this period, Stunt & Co received £46.8 million from Fowler Oldfield, a 'multimillion-pound money laundering operation'. The FCA said Barclays failed to properly consider the money laundering risks 'even after receiving information from law enforcement about suspected money laundering through Fowler Oldfield, and after learning that the police had raided both firms'. In March, James Stunt was cleared of taking part in a £200 million money laundering plot. Meanwhile, Barclays Bank UK has been fined £3.1 million after it failed to check it had enough information to understand the money laundering risk before opening a client money account for now-collapsed wealth management firm WealthTek, the FCA said. It added the Bank failed to see that WealthTek was not permitted by the FCA to hold client money, before clients deposited £34 million into the firm's account. Barclays has agreed to make a voluntary payment of £6.3 million to WealthTek's clients who are facing a shortfall. Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said: 'The consequences of poor financial crime controls are very real – they allow criminals to launder the proceeds of their crimes, and they allow fraudsters to defraud consumers. 'Banks need to take responsibility and act promptly, particularly when obvious risks are brought to their attention. 'In the first of these cases, Barclays secured a significant reduction in its fine through its extensive co-operation with our investigation and through making a voluntary payment to affected consumers at our request.' Barclays has been contacted for comment.
The Independent
6 days ago
- Business
- The Independent
Barclays fined £42m by watchdog over money laundering checks
The financial watchdog has fined banking giant Barclays £42 million over its 'poor handling' of money laundering risks. The Financial Conduct Authority (FCA) said the fines related to separate failings linked to the WealthTek and Stunt & Co businesses. It fined Barclays Bank £39.3 million for 'failing to adequately manage money laundering risks' related to providing banking services to Stunt & Co, the firm run by socialite James Stunt. Barclays 'did not gather enough information' after starting its relationship with the business and did not carry out 'proper' ongoing monitoring, the FCA said. During this period, Stunt & Co received £46.8 million from Fowler Oldfield, a 'multimillion-pound money laundering operation'. The FCA said Barclays failed to properly consider the money laundering risks 'even after receiving information from law enforcement about suspected money laundering through Fowler Oldfield, and after learning that the police had raided both firms'. In March, James Stunt was cleared of taking part in a £200 million money laundering plot. Meanwhile, Barclays Bank UK has been fined £3.1 million after it failed to check it had enough information to understand the money laundering risk before opening a client money account for now-collapsed wealth management firm WealthTek, the FCA said. It added the Bank failed to see that WealthTek was not permitted by the FCA to hold client money, before clients deposited £34 million into the firm's account. Barclays has agreed to make a voluntary payment of £6.3 million to WealthTek's clients who are facing a shortfall. Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said: 'The consequences of poor financial crime controls are very real – they allow criminals to launder the proceeds of their crimes, and they allow fraudsters to defraud consumers. ' Banks need to take responsibility and act promptly, particularly when obvious risks are brought to their attention. 'In the first of these cases, Barclays secured a significant reduction in its fine through its extensive co-operation with our investigation and through making a voluntary payment to affected consumers at our request.'
