LONDON – Barclays, Britain’s second-biggest bank, revealed it is the target of an international investigation over possible manipulation of currency trading as it reported a drop in profits.
The bank says authorities are looking into foreign currency trading in multiple markets.
It also revealed that the Financial Conduct Authority has warned the bank it faces a fine of 50 million pounds ($80 million) for failing to disclose it had entered into advisory agreements with Qatar Holdings LLC before it raised money from Qatari investors in 2008. The bank says it contests the authority’s finding that the primary purpose of the agreements, which totalled 332 million pounds over five years, was to make additional payments for Qatari participation in the capital raising.
Barclays reported net income fell 26 per cent to 2.8 billion pounds.