Barclays investigating massive leak of customer information

UK lender Barclays is investigating the possible leak of thousands of documents containing customer information, the latest in a series of blows to the bank, CNN reported.

As many as 27,000 Barclays customer files with personal and financial information had been stolen, a whistleblower report published by the Daily Mail said.

The files contained details of income, savings, mortgages, health issues, insurance policies, passport and national insurance numbers -- data that could be used for investment scams. It remains unclear how the information was stolen.

According to the lender, a preliminary investigation suggested that the theft was limited to data from clients of the bank's financial planning business, a unit that shut in 2011. The affected data likely went back to 2008 or earlier.

"We will take all necessary steps to contact and advise those customers as soon as possible so that they can also ensure the safety of their personal data," Barclays said in a statement. "This appears to be criminal action and we will cooperate with the authorities on pursuing the perpetrator."

The Mail on Sunday, said a whistle-blower gave it a memory drive containing files on 2,000 customers. According to the whistleblower each of the 27,000 files could be sold for around £50.

Each file contains 20 pages and among the customers are doctors, business executives, scientists, a musician and a cleaner. The whistle-blower came to know of the files in September, when a brokerage firm asked him to sell them to other traders.

Barlays spokesman Giles Croot told the media that protecting customers' data was a top priority and the bank took the issue extremely seriously.

He added, it appeared to be criminal action, and the bank would cooperate with the authorities on pursuing the perpetrator.

Meanwhile, the Financial Conduct Authority confirmed that Barclays had contacted it about the matter.

The authority added, it planned to work with the bank on procedures to ensure the security of data and its proper use.

Barclays, which planned to announce its annual results tomorrow, has been in the news for all the wrong reasons in recent times.

It was accused with along with other major banks, of involvement in rigging of benchmark Libor rates (See: Libor list exposes top Barclays executives).

In July last year US power regulator Federal Energy Regulatory Commission fined Barclays and four of its traders $453 million  for manipulating power prices in California and other western markets between November 2006 and December 2008 (Barclays fined $453 mn for fudging US electricity markets)

According to the lender its fourth-quarter results would include additional charges of £110 million pounds, related to litigation and regulatory penalties.

An internal report prepared for the bank by investment banking attorney Anthony Salz in 2013, says the lender put profit ahead of customers and let lending standards slip from the early 2000s (Barclays puts profit ahead of customers: review).