LONDON, ENGLAND - JULY 03: Former Chief Executive of Barclays John Varley (C) arrives at Westminster Magistrates Court on July 3, 2017 in London, England. Mr Varley today appears with three other former executives of Barclays in relation to a Serious Fraud Office investigation over the way the bank raised billions of pounds from Qatar in 2008. Barclays and the four former executives are the first to receive criminal charges relating to the financial crisis in the UK. (Photo by Jack Taylor/Getty Images) ***BESTPIX***
John Varley (centre) arrives at court © Getty

Four former Barclays executives including its ex-chief executive John Varley appeared in the dock on Monday to face criminal charges emanating from the bank’s efforts to avoid a taxpayer rescue in the financial crisis.

Mr Varley, who was chief executive at the time of the financial crisis and three former colleagues including Roger Jenkins, the former head of the bank’s Middle East operations, faced allegations at Westminster magistrates' court relating to Barclays’ capital raising at the height of the crisis in 2008.

Presiding magistrate Emma Arbuthnot granted unconditional bail to Mr Varley, 61, and Richard Boath, 58, who chaired the bank’s financial-services team.

However, she stipulated that both Tom Kalaris, who is a dual US and British citizen and has property in both countries and Roger Jenkins who is British but lives in Malibu, California must post £500,000 security for bail within seven days. Mr Kalaris, 61, was head of Barclays’ wealth management division in 2008.

Lawyers for Mr Jenkins, also 61, and Mr Boath said last week that the two men would “vigorously defend” themselves against the charges. Mr Varley and Mr Kalaris are also expected to plead not guilty, according to lawyers.

Mr Varley is the first global bank chief executive to face criminal charges stemming from the financial crisis and this was the first court appearance for the four men since the Serious Fraud Office brought charges last month.

Mr Varley, dressed in a grey suit, white shirt and black and white polka dot tie and carrying a notepad, stood alongside his former colleagues and spoke only to confirm his full name, date of birth and his address in west London.

His three co-defendants all did the same despite one defence lawyer William Boyce QC objecting to his client, Mr Boath, giving his home address in Henley-on-Thames. Ms Arbuthnot told him that it was “absolutely clear” that all defendants had to do this.

The first charge was also read out to the men before Ms Arbuthnot transferred the case to Southwark Crown Court for a hearing at 9.30am on July 17.

Outside court Mr Varley and his former colleagues were greeted by photographers and camera crews who began gathering from early morning. A single Barclays protester carrying an anti-Barclays slogan and carrying a glass of champagne was outside as the men arrived.

The four defendants chatted to each other inside the court before the case began. They were then led into the dock for the start of the 40-minute hearing where they sat staring straight ahead. The courtroom and public gallery was packed with journalists and lawyers.

Edward Brown QC, prosecutor acting for the SFO, set out a summary of the charges facing the individuals and the bank relating to the 2008 capital raising.

He argued that the four men should have bail conditions imposed given they were facing “serious criminal charges” and suggested travel restrictions including notifying the SFO within 24 hours of change of residence.

The bank was not represented in the dock but was represented in the courtroom by barrister Richard Lissack QC.

The Barclays prosecution is one of the most high profile cases ever to be brought by the SFO.

Mr Varley and Mr Jenkins face two counts of conspiracy to commit fraud by false representation over two emergency cash calls when Qatar invested £6.3bn to keep the bank out of UK government control. The bank entered an “advisory services agreement” with Qatar worth £322m at the same time.

The two men also are charged with a count of unlawful financial assistance over a $3bn loan the bank made to Qatar’s finance and economy ministry just as the second cash call was closing. Barclays Plc also faces the same three charges.

Mr Kalaris and Mr Boath, who chaired the bank’s financial-services team, face a single count of false representation over the first fundraising.

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