Barclays will pay a US$361mln penalty to the US regulators for what were deemed "staggering" failures that caused $17.7bn of oversold structured products.
The US Securities and Exchange Commission determined that the bank failed to implement any safeguards to track sales of complex structured and exchange-traded notes, therefore overshooting a US$20.8bn sales limit by up to 75%.
Buyers of the unregistered securities had the right to demand Barclays buy back the products at a premium to the original sale price, costing the bank £1.3bn (US$1.45) in the second quarter.
"While we acknowledge Barclays' efforts to identify, disclose and remediate this conduct, the control deficiencies and the scope of the conduct at issue here was simply staggering," Gurbir Grewal, director of the SEC's Division of Enforcement, said.
The fine marks the first blunder for C. S. Venkatakrishnan, who took over as chief executive officer of the FTSE 100 company in November 2021.