Barclays Sees Surprise Rally After Chairman Resigns Over Libor Scandal (Forbes)

the blog by The CityStreet

(Abram Brown, Forbes)

Barclays shares unexpectedly rallied this morning after its chairman stepped down, the most senior executive to leave following a scandal over interest rate rigging. The bank also announced that it would launch an independently audit of its business practices in wake of the controversy.

“Last week’s events—evidencing as they do unacceptable standards of behavior within the bank—have dealt a devasting blow to Barclays reputation,” Chairman Marcus Argius says in a statement this morning. “As Chairman, I am the ultimate guardian of the bank’ reputation. Accordingly, the buck stops with me, and I must acknowledge responsibility of the bank’s reputation.”

The audit will be a “root and branch review of all the past practices that have been revealed as flawed since the credit crisis started,” Barclays says this morning. (Please Click Here to Read Full Article)

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