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Barclays scandal

02.07.2012 On the 2nd of July Chief Executive of Barclays, Bob Diamond has resigned, because of rate fixing scandal.

Remind that on 27th of June, 2012 Barclays was fined 452 million dollars U.S. and UK regulators for manipulating inter-bank lending rates LIBOR. Investigation of fiddling with the LIBOR was launched since 2008 and in addition to Barclays affected large banks such as Royal Bank of Scotland, Lloyds Banking Group, Citigroup, HSBC, UBS and Deutsche Bank, and Barclays Bank was the first which recognized its responsibility. As a consequence found out, the staff of Barclays in 2005 to 2009 has repeatedly manipulated the rate of LIBOR.

For shareholders this new came as a surprise that will result in a complete upgrade of the leading staff of Barclays. Diamond explained his resignation from his post as the desire to minimize the damage that can be applied to the company's reputation.

Also it is known that as a result of the scandal British Prime Minister David Cameron has announced the creation of the parliamentary committee, which will check all the banks in the country.

Britain's finance minister George Osborne welcomed the resignation, expressing the hope that they will become "the first step towards a new culture of responsibility in the banking system."

Expert’s opinion

Barclays Bank has an asset, that differs Barclays from others banks. It is fascinating name and an eagle on the emblem.

A person, who at first time faced with this name and logo is captured in their views about billboards with the eagles, the English knights, valor and honor, which came down through the centuries to nowadays.

But later, after meeting with the realities of working with the bank, with account managers and internet bank - you begin to realize that the ideal view of the bank is slightly different from what you see with your own eyes, hear from the employees of the bank and feel. Most often, in that time you learn that the name of the bank gave a relative of the founders of the bank, and the logo of the bank - it is a pub sign that hung next to the bank for many years.

Site of Russian Barclays barclays.ru fall off the edge of the earth. Now we just can read the site, address of which begins from the sacred words offshore.barclays.com/russia-ru.

And even digging a well in search engine does not catch the pages barklaysovskogo site. Here, for example the page "Expobank" (this has been renamed as Barclays Bank in 2008) remained in a search engine.

What does it mean? - Barclays worries about his reputation and the bank has the technical capabilities to clear the cache so that even a trace of the site is left.

Honestly - I'm shocked of the magnitude of the solved problem. It is unclear why it is necessary.

But just imagine what resources have top-managers of the bank!

It’s no wonder that these resources are not only clean the Russian segment of the Internet, that does not make any profit - but also send to the operations that bring real profit!

A manipulation of the rates LIBOR - still brings revenues.

And even now, after the scandal over the manipulation, when the euro has fallen off - surely there are smart and quick guys who played on the slide.

Fast and smart - always win!

On the basis: http://www.bbc.co.uk

Lomakin Yaroslav ( managing partner of Honest & Bright )

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