>> Barclays has slapped its Chief Executive on the wrist, and unusually, cut his bonus, the bank said, Monday. Jes Staley, whose bonus was a tidy 1.3 million pounds last year, tried to blow the cover of a whistleblower. Staley has acknowledged mistakes, Barclay's accepting but they didn't realize such identification was against the bank's own rules.
Reuters banking correspondent Laurence White has been following.>> Barclay's has responded very promptly which the authorities will be happy with. They've launched an investigation by a law firm into what exactly Staly did. They've also cut his pay and formally reprimanded him. So quite a strong reaction from the bank about this incident.
It's relatively unusual to see such an immediate and sharp pay cut for a banker. We obviously don't know the exact amount that he'll be docked, but the bank says it is a significant sum. It's an embarrassment for Staley, who's been in the job for just 15 months, but also for Barclays, which is grappling with a slew of investigations into employee's manipulation of the LIBOR benchmark interest rate.
>> Certainly, Staley's job could come under pressure if the publication of the FCA's report into this reveals damning conclusions. We'll know a little bit more when that report comes out, which might not be for another couple of months. The bank's annual general meeting on May 10th could become now, a flashpoint for Staley, because the bank's shareholders will vote on whether to reappoint him or not.
>> Still, unless that report is more damning than expected, Staley looks likely to stay on. After a reign of caution under his predecessor, the former JP Morgan investment banker is popular at Barclays for bringing back a bit of risk-taking swagger.