The Straits Times
Published on Jan 31, 2013

Barclays pay chief clashed with board on ex-CEO's 'obscene' bonus


LONDON (REUTERS) - The former head of remuneration at Barclays said she clashed with the British bank's board over former boss Bob Diamond's pay package and described some bonus awards in banking as "obscene".

Ms Alison Carnwath, who quit in July at a time of turmoil for the bank following its fine for rigging Libor interest rates, said Mr Diamond had been reluctant to accept that pay at Barclays was high and was "overly protective of his investment banking franchise".

Mr Carnwath, who cited personal reasons for her departure, told British lawmakers on Wednesday she was "amazed" Nr Diamond was being offered any bonus for 2011 because the bank's returns were weak.

"It was for this reason that I disagreed with the board chairman's recommendation on Mr Diamond's annual bonus for 2011. I recommended zero.