'Fat cat in a hat' Rich Ricci retires to spend more time with his cash

Banker who was part of Bob Diamond's inner circle at Barclays heads for the door

Click to follow
The Independent Online

Barclays' flamboyant investment banking chief Rich Ricci is to "retire" from the bank, a casualty of a management shake-up instituted by new chief executive Antony Jenkins.

Tom Kalaris, another American who served as the head of Barclays Wealth, will also go by the end of June. Mr Ricci, 49, was a key lieutenant of former chief executive Bob Diamond. He was part of a powerful triumvirate of North Americans who dominated the business, along with the Canadian Jerry del Missier.

Mr Ricci had last month cashed in on the nearly £18m worth of shares he had been handed by the bank. He had collected more than £40m as recently as 2010 and in many ways had been serving as a lightning rod for criticism about perceived excess since the departure of Mr Diamond.

He will walk away on 30 June with a year's salary, but characterising his departure as a "retirement" will mean he will also be eligible for future releases from Barclays' share-based long-term incentive scheme, as will Mr Kalaris.

Mr Ricci's departure had been widely expected ever since Mr Diamond and Mr Del Missier quit in the wake of the Libor affair. Their leaving reportedly moved Mr Ricci to tears as he spoke to staff on the bank's trading floor.

The moves had been expected in the City as part of Mr Jenkins' attempts to draw a line under the past and restore the bank's reputation after the Libor interest rate-fixing scandal, which led to fines of £290m. But shares finished the day down 5.66p at 284.64p.

The writing seemed to be on the wall when Mr Jenkins failed to personally endorse Mr Ricci when repeatedly asked to do so by reporters at a press conference held to unveil his new strategy in February. He would only state his confidence in his management team.

High-profile appearances by the racehorse-owning Mr Ricci at the Cheltenham festival while decked out in his trademark shades and trilby, below, didn't help.

Eric Bommensath and Tom King will take over as co-chief executives of Barclays' corporate and investment banking from 1 May. Hugh "Skip" McGee will assume the powerful role of head of Americas.

Cynics in the City questioned whether the appointments meant the changes Mr Jenkins has promised would be more than skin deep. The new men at the top are part of the old guard.

Mr King, who will be based in the US, comes from an advisory background having joined Barclays from Citigroup. Mr McGee joined Barclays when the bank bought the US business of Lehman Brothers, where he had been a leading figure, out of bankruptcy. He is the only former Lehmans banker to earn a seat at Barclays' management to table.

The old guard: Where they've gone

Bob Diamond, former Barclays chief executive

Returned to his native US, but retains a home in London. His roots were in academia and he has been lecturing at Yale University while running the family foundation. Thought to be still interested in another big job.

Jerry del Missier, former Barclays chief operating officer

Mr Diamond's right-hand man, he has retreated into obscurity but continues as an adviser to the Queen's School of Business in Ontario, Canada, of which he is an alumnus.