Roger Jenkins received a £50m exit package when he left Barclays in 2009 after being paid £39m in annual pay and bonuses for at least two years in a row, the High Court in London heard on Monday.
Mr Jenkins was once one of Britain’s best-paid bankers, working as chairman of Barclays’ Middle Eastern business. He was giving evidence to the High Court as the bank defends a £1.5bn lawsuit brought against it by financier Amanda Staveley’s investment firm PCP, over its 2008 fundraising with Qatar.
PCP, which led a parallel fundraising by Abu Dhabi, alleges that Barclays made secret side agreements — known as advisory service agreements — and paid undisclosed fees to Qatar as part of two £4bn cash calls that helped the bank avoid a UK government bailout. Barclays denies the claim.
Mr Jenkins told the High Court that if Barclays had been bailed out by the UK government, the bank would have been forced to pursue a “domestic agenda”. He was asked about his exit package when he left the bank in July 2009. “It was significant. Over £50m,” he said.
He added that details of his remuneration package at Barclays had emerged at his criminal trial earlier this year, when he was acquitted of fraud charges over the fundraising. “It was £39m and the same the previous year and the previous year,” he replied.
PCP claims that the two advisory services agreements (ASAs) struck between Barclays and Qatar were “shams” and “disguised fees” given to Qatar in exchange for its participation.
Joe Smouha, barrister for PCP, claimed that on October 24 2008 there was no suggestion that there would be a second agreement worth £280m between Barclays and Qatar, in addition to a first ASA signed in June 2008.
“What you have put here is completely made up in an attempt to suggest some sort of extension to ASA 1 was in play on the evening of 24 October,” Mr Smouha told him.
“You are entitled to your opinion sir,” Mr Jenkins replied.
Mr Smouha QC also accused Mr Jenkins of giving “made up” evidence to the trial about negotiations with Qatar in October 2008, rather than “admit that there were no discussions or negotiations with the Qataris of the contents of the second advisory services agreement.” Mr Jenkins replied: “It’s not true.”
Mr Jenkins was questioned about whether he had disclosed to Ms Staveley in October 2008 that a $3bn bank loan was being advanced by Barclays to Qatar. “It’s none of her business what a bank does with a client,” he replied.
Mr Jenkins was pressed by Mr Smouha QC about a meeting he held with Ms Staveley in the large open plan kitchen of his Mayfair home on October 23 2008 where she claims he reassured her that Abu Dhabi was getting the “same deal” in the fundraising as Qatar.
Mr Jenkins said: “The same deal I know is very germane to her case. I may or may not have said same deal.”
The case continues.
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