UK prosecutors are due to start proceedings today to reinstate charges against Barclays (LON:BARC) related to the group’s fundraising with Qatar during the financial crisis, Bloomberg has reported. The news comes as the FTSE 100 lender prepares to update investors on its third-quarter performance on Wednesday.
Barclays’ share price has climbed higher in London in today’s session, having gained 1.32 percent to 165.58p as of 10:32 BST. The stock is outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.47 percent higher at 7,082.81 points.
SFO seeks to reinstate charges
Bloomberg reports that starting today, the High Court in London will hear four days of arguments on whether the Serious Fraud Office (SFO) has a valid indictment against both Barclays’ holding and operating companies. It, however, is unclear when judgment will be handed down.
The SFO brought criminal charges against the FTSE 100 lender last year following a five-year investigation into the group’s emergency fundraising from Qatar during the financial crisis which helped Barclays avoid a taxpayer-funded bailout. While the Crown Court subsequently dismissed the charges, the government agency applied to the High Court over the summer, seeking to reinstate them.
Barclays results preview
Barclays is due to start the reporting season for FTSE 100 lenders on Wednesday and Proactive Investors reports that UBS expects the group to report adjusted pre-tax profit of £1.09 billion for the third quarter, down from £1.19 billion a year ago, on higher costs related to foreign exchange rates and investments. Barclays’ total income meanwhile is expected to have fallen to £5.02 billion from £5.17 billion.
Lloyds (LON:LLOY) will follow with its Q3 update on Thursday, while RBS (LON:RBS) reports on Friday.