Shareholders launch investigation of Barclays

Cross-border law firm Morganti Legal, P.C. is investigating whether Barclays plc misled investors about its investment quality between July 2007 and June 2012.

Read: Barclays backing out of 130 countries

During June 2012, Barclays plc paid $450 million to resolve regulatory investigations of its role in manipulating certain interest-rates, such as LIBOR (London Interbank Offered Rate). On December 7, 2013, it was reported that Ricardo Master Fund, a Barclays’ offshore fund, profited over two hundred million dollars from its interest rate derivative business linked to LIBOR.

These profits were never shared with Barclays’ shareholders, yet, those shareholders may have been economically injured when Barclays paid hundreds of millions in regulatory fines in June 2012 and its stock dropped more than 10% on news of the fines. It appears that Barclays delisted its Ricardo Master Fund just weeks prior to paying the $450 million fine.

Morganti Legal, P.C. is evaluating possible claims on behalf of Canadians who held Barclays’ securities listed on the London Stock Exchange and New York Stock Exchange.

Also read:

Barclays fights big fine

Libor to stay under London’s control

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.