Bank of England Governor Andrew Bailey, in a witness statement made public on Friday, highlighted that emails between former Barclays CEO Jes Staley and Jeffrey Epstein prompted challenging inquiries as Bailey testified at Staley's appeal against a ban from the finance industry.
Bailey answered questions at the Rolls Building in London regarding his involvement in the Financial Conduct Authority's decision to investigate Staley's connections with Epstein, who faced sex trafficking allegations. Staley contested the FCA's industry ban and significant fine.
During the hearing, Bailey recalled his communications with Barclays Chair regarding the FCA's scrutiny following Epstein's 2019 arrest. Despite Barclays asserting Staley had no significant ties to Epstein while at the bank, the FCA argues these claims were misleading, which Staley refutes.
Bailey mentioned receiving information from JPMorgan indicating potential misconduct, leading to further scrutiny on Staley's statements about his relationship with Epstein, described in multiple emails as "profound."
The case revolves around a collection of 1,000+ emails between Staley and Epstein, underscoring their intimate rapport, suggesting Staley misled Barclays and, consequently, the FCA.
Following discussions involving Bailey, Barclays Chair, and Bank of England representatives over the matter, concerns were raised about the accuracy of Barclays' response, leading to further investigation.
As the hearing progresses, forthcoming testimonies, including from Barclays Chair, will continue to shed light on Staley's connections to Epstein, amid ongoing public interest following Epstein's criminal activities implicating various prominent figures and institutions.