How the UK’s largest bank got bailed out by its bankers

Banking industry executives have been left furious after news emerged that one of the world’s biggest banks was bailed out after its chief executive lost control of the company he led.

The Bank of England has said it is “shocked and saddened” by the news that Barclays lost its licence as a financial institution, with its chief economist and chief legal officer sacked.

“This is a very sad day for the Bank of London, and the British banking system, which has been so instrumental in providing stability to the economy over the past two decades,” said George Osborne, the chancellor of the exchequer.

In a statement, Barclays said: “Barclays is shocked and saddened to learn of the sudden termination of its Chief Executive Officer (CEO) and Chief Legal Officer (CLOS) roles.

It is a sad day indeed for the bank and its shareholders and all those working in the Bank’s global operations.”

Bank of England chief economist Matthew Reed said he was shocked.

“I am very sorry for the impact the actions of the Chief Executive and CLOS have on our customers and colleagues.

We take any allegation of wrongdoing very seriously, and I would appeal to the Bank to ensure that the individuals involved are held to account,” he said.

However, the bank’s chief financial officer, Chris Williamson, was forced to step down after he failed to respond to questions in full.

Earlier, the chief executive of HSBC said that he was “shattered” by reports of the bank being taken over.

“The bank’s board has taken the decision to suspend its relationship with Barclays. “

“As the majority shareholder of the Barclays Group, we remain committed to maintaining the status quo at Barclays.” “

Mr Williamson said he would remain in his role as head of HSBC Private Banking Group. “

As the majority shareholder of the Barclays Group, we remain committed to maintaining the status quo at Barclays.” 

Mr Williamson said he would remain in his role as head of HSBC Private Banking Group.

HSBC Private Bank said it had no immediate comment. 

In a tweet, the head of the European Central Bank, Mario Draghi, said: “I am appalled by the decision of the British Government to remove the bank from the EU’s supervision regime.” 

Mr Draghi said that the decision was a “significant step backwards” in terms of the functioning of the eurozone and the financial sector. 

Barclay has been hit by a series of scandals, including allegations of fraud and money laundering.

Barclaid was taken over by Barclays in 2010.

After its takeover, the former chairman of Barclays, David Lapsley, resigned, and a group of senior executives were sacked.

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By The Associated PressThis story is part of AP’s special coverage of the global financial crisis.

(AP: Chris Carlson)This story was produced by The Associated National Press under the sponsorship of The Society of American Business Editors.

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