Amanda Staveley launches new legal assault on Barclays

Ms Staveley was vindicated after the judge found Barclays ‘guilty of fraudulent misrepresentation’ – Stu Forster/Getty Images

Financier Amanda Staveley has launched a fresh legal fight against Barclays over the bank’s emergency Gulf bailout secured at the height of the financial crisis.

Funds linked to Ms Staveley’s PCP Capital Partners are suing Barclays at the secretive International Chamber of Commerce (ICC) arbitration court in Paris for new damages. The ICC case centres on similar allegations made in a High Court case concerning Barclays’ 2008 Middle Eastern bail-out.

Ms Staveley stitched together an investment package for Barclays during the financial crisis but the bank ultimately opted to take investment from Qatar. Ms Staveley subsequently accused the bank of deceit for not disclosing the terms of the parallel deal. She claimed her funds had lost out on millions as a result.

Ms Staveley ultimately lost her High Court claim but Barclays was found by a judge to have deceived PCP and was “guilty of fraudulent misrepresentation”.

The British dealmaker, who is known for her role brokering the Saudi Arabian takeover of Newcastle United, is now seeking damages at the ICC. The Paris-based ICC hosts an internal disputes court that helps corporations settle legal disputes. A three-person tribunal or single arbiter is appointed to rule on matters and huge damages can be awarded.

After a bruising court case, a High Court judge ruled in February 2021 that Barclays had deceived Ms Staveley and the loss caused by the deception was worth £615m. However, the judgment ultimately ruled that Staveley would not have stood to gain and her claim for damages failed. Ms Staveley’s ICC case against Barclays started in late 2023 and is likely to run until as late as 2026.

Barclays and the PCP-linked funds have moved to arbitration owing to the nature of contracts both signed in 2008.

Companies will often include arbitration clauses in their commercial paperwork, which force both sides to go down this route if a dispute arises. Lawyers spend months and sometimes years taking evidence from parties before making a legally binding ruling for the parties involved.

The ICC hears around 800 cases per year.

Barclays, PCP, Ms Staveley and the ICC declined to comment. The circumstances of Qatar’s Barclays rescue deal, which helped the bank avoid a UK government bailout, have dogged the bank for the past decade.

Barclays faced a criminal investigation over the fundraising by the Serious Fraud Office but the case was dismissed.

Qatar has remained a cornerstone investor in Barclays since its 2008 investment. The Gulf state recently cut its stake in the bank from 5.6pc to 3.2pc after a £500m share sale but the Qataris remain Barclays’ fourth largest shareholder.

Ms Staveley is best known as a powerful broker in football finance. She helped Sheikh Mansour takeover Manchester City in 2008 and recently brokered Saudi Arabia’s investment in Newcastle United.

%n

Discover Telegraph Wine Cellar’s new wine club. Enjoy expertly chosen bottles at exclusive member prices. Plus, free delivery on every order.