June 26 (Bloomberg) -- Barclays Plc Chief Executive Officer Antony Jenkins told his employees that the British bank is investigating New York regulators’ “serious charges” that the bank lied to clients who used an electronic trading platform.
“I will not tolerate any circumstances in which our clients are lied to and misled, and any instances I discover will be dealt with severely,” Jenkins said in a memo to staff that was confirmed by a spokesman.
Jenkins said the bank’s investigation would use external resources and report directly to him.
“We will move swiftly to understand the facts, continue to cooperate fully and openly with the New York authorities” and “quickly and decisively” deal with any wrongdoing, Jenkins said. “These are serious charges that allege a grave failure to live up to our values and to the culture at Barclays which we are trying to create.”
New York’s top law-enforcement official, Eric Schneiderman, accused Barclays of assuring investors they would be protected from high-frequency traders while it simultaneously aided predatory tactics, according to a copy of the complaint released yesterday.
The bank’s stock fell 6.5 percent today in London trading, the most in two years. Deutsche Bank AG, Royal Bank of Canada, Sanford C. Bernstein & Co. and Investment Technology Group Inc. are among brokerages that have now disconnected from the Barclays LX venue, according to people with knowledge of the matter.
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