Bob Diamond ousting 'was plotted by his outraged bankers in New York'


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The Independent Online

Bob Diamond's New York bankers were enraged by his reluctance to quit after the Libor scandal broke.

The Wall Street division of Barclays, where many staff who had previously worked for the collapsed Lehman Brothers were based, even talked of plotting some kind of insurrection to force him to leave, according to reports in the US.

Monday night's memo to staff from Mr Diamond particularly enraged his New York trading floor.

CNBC interviewed 14 traders there who all confirmed that the note, which was supposed to be an attempt to calm his workforce, had had the opposite effect.

"It was ridiculous that he thought he could stay on after the Libor scandal," said one senior executive. "It made us look like crooks and fools."

Some, CNBC reported, even began plotting to force him to resign. "We were like: 'What world is he living in?'" said one trader. "How could he not see the writing on the wall?" Another added: "He was like a guy trying desperately to keep his girlfriend from breaking up with him. I was literally cringeing reading the letter," said another.

The staff reaction to the letter was one of the key points Mr Diamond was monitoring as he weighed up his decision whether to stay or go on Monday night.

In it, he stated he was "disappointed and angry" about what went on.

Former Lehman staff recalled how Dick Fuld tried to hold on to his job until the bitter end.