Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at http://citywire.co.uk/wealth-manager/article/a650040

Sants defends decision to join Barclays

by Sarah Miloudi on Jan 10, 2013 at 14:57

Sants defends decision to join Barclays

Newly-knighted Hector Sants has defended his decision to join Barclays, claiming he is not compromised by the role.

The former Financial Services Authority (FSA) boss launched a fierce defence speaking to MPs.

Sants came under fire as he gave evidence at the Parliamentary Commission on Banking Standards, however he said he was 'not compromised' by accepting a post as head of compliance at Barclays and had respected guidelines on when former regulatory chiefs can take up positions elsewhere.

'There is a statutory period when you are not allowed to work for a competitor and I will have passed that before I start,' Sants (pictured) said.

Sants added he, the FSA and Barclays were all aware of some cases against the bank, but 'safeguards' had been put in place to protect shareholders and the public interest.

The fresh criticism sees Sants begin the new year the way 2012 ended - facing opposition about his suitability for public appointments and honours. 

He was recognised by the Queen for his services to banking, however his surprise knighthood was followed with a barrage of public criticism over his handling of the financial crisis.

While Sants served at the FSA during 2008's severe downturn, and later steered it towards a new regulatory framework based on the lessons learnt - many felt he should have been able to spot the sector's difficulties.

Sants will take up his post at Barclays on 21 January, when for the first time the bank's compliance operations will fall under the control of a single person.

6 comments so far. Why not have your say?

Aries

Jan 10, 2013 at 17:17

I am sure Sants is laughing all the way to the bank,having picked up a knighthood on the the way for being totally incompetant.No doubt the fine that Barclays incurred was reduced by the cost of Sants excessive salary that he will receive over the next 5 years or until he makes another `cock-up`

report this

Teddy

Jan 10, 2013 at 21:24

Like previous incumbents, Mr Sants and team were not only too focussed on conduct regulation they were totally inadequate in terms of prudential supervision of major banks. In addition they operated a flawed supervisory approach which patently failed to challenge the judgement and risk assessments of banks and others.

Lets hope the master of the "light touch" regulatory regime weaves his magic at Barclays - meantime I may ditch my holding in Barclays just in case!.

report this

CoeurDeLion87

Jan 11, 2013 at 09:22

The net result is that regulators and bankers are simply raping 'shareholder funds' from under the eyes of all types of shareholders who deserve better. Sants knighthood has clearly diluted the award for other people more worthy of such a noble investure. It's time the electorate woke up to the REGULATION & COMPLIANCE culture in financial services, utilities and elsewhere. It adds NO value whatsoever, exterminates perfectly competent citizens from the work place, instigates high unnecessary and often erratic fines and charges on all within the industry (which ultimately investors and tax payers have to pay for) and worse of all gives power to the corrupt who use the complicated and often irrelevant regulations and laws to dictate in a Mussolini way and impose their style of fascist management on executives and back office staff. What is very worrying is that so many I speak to know and agree with me on these misgivings BUT no-one is prepared to stand up to the REGULATORS...who in my opinion are the NEW AGE FASCISTS. Strong stuff but it's 100% true and they may not like what Lionheart says but frankly m'dear I couldn't give a dam.

report this

CoeurDeLion87

Jan 11, 2013 at 09:25

....oh & I forgot to mention the main raison d'etre is designed to protect investors. Well please tell that to the Equitable pensioners and '000s of others who are still waiting on countless FSCS claims. It's become a joke!

report this

Ian Lees

Jan 13, 2013 at 10:55

In my opinion the move from Head of Financial Services to Head of compliance for ordinary Hector Sants - is a great achievement for him, despite teh negligence he imposed - when negotiating the " Fine " on Barclays - the Libor fiddling bank. Hector will be able to oversee the actual payment of the " Fine " ( or renegotiate it - downwards on behalf of his new employer - with his often referred to as being "superior knowledge", and certainly his insider knowledge and information of the extended " rool book") . Secondly hector will be able to see where the money is coming from e.g the middle east - or from consumers charges applied by Barclays - or from somewhere else - like Bob Diamond - who despite his exit agreed to continue working within the Barclays regime.

The fact Her Majesty offered a knighthood, to ordinary Hector for his services to Banking in particular - should come as no surprise - given her own bank Coutts now owned by RBS ( often referred to as the Robbing bank of scotland ) means the RBS is in the hands of the tax payer, funded by the taxpayer - and currently controlled by the taxpayer - through the Government - David Cameron MP PM etc., - who recomends individuals for this hood for nights ?

report this

Aries

Jan 13, 2013 at 19:38

I agree entirely but we all know that it is jobs for the boys at the highest level.

I more you are elevated the more you get whether it is justified or not .we all know that dear hector has been & still is an Utter A---------H. As i have previously commentated Sants gave Barclays a paltry find re Libor to pay for his highly inflated salary plus enormous bonus no-doubt he will receive over the next 5 years. If it all goes wrong for Barclays they can point the finger at Sants & say we appointed the best & sack him with an enormous pay - off & carry on with the next in line !!

report this

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Long time coming: is the recovery here to stay?


Ian McVeigh and Steve Davies, managers of Jupiter's UK Growth fund, talk about their predictions for the UK equity space. Click here to watch a series of sponsored interviews with Jupiter's fund managers on the UK equity market.

Today's top headlines

More about this:

Look up the shares

  • Barclays PLC
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

More from us

Archive

On the road

Click here to find out more from the Audience Development team.



Sorry, this link is not
quite ready yet