FormMG 11

WITNESS STATEMENT
(CJ Act 1967, s.9 MC Act 1980, ss.SA(3)(a) and SB; MC Rules 1981, r.70)
Statementof Age if under18

Stephen Young
Over 18
(If over 181nsert 'over 18') Occupation:

Director

This statement (consisting of:S pages each signed by me) Is true to the best of my knowledge and belief and I make It knowing_that, If it is tendered in evidence, I shall be liable to prosecution If I have wilfully stated anything In It which I know to be false or do not believe to be true.

Si nature:

Date:

1]th

rll2012

n
I am currently employed by Barclays Wealth as the Director of Fraud Investigations a position I have held since June 2006. My role involves the direction of Fraud investigations and managing a team of internal Fraud investigators. Prior to my employment at Barclays Wealth I was the Europe, Middle East and Africa (EMEA) Regional Director of Investigations for Citigroup Inc. I joined Citigroup Inc in December 2000 having served 20 years with the City of London Pollee, the majority of my service as a Detective Sergeant In the Economic Crime Department Barclays Wealth Is the wealth management dMsion of Barclays and operates through Barclays Bank Pic and its subsidiaries. Barclays Bank Pic Is registered In England and is authorised and regulated by the Financial Services Authority. In October 2008 I was contacted by Fred Bunn a former Metropolitan Police Officer now employed by Bark & Co Solidtors. I was asked if I would be Interested in meeting a client of Bark & Co, Barry Sales, who had a proposition he and his partner would like to discuss with a Bank. The proposition concerned Web site

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called 'Confidential Access' (CA) to purchase novelty documents such as driving licences, utility bills and Bank statements. I Informed Fred BunnI would be willing to meet with Barry and his partner but it was unlikely the Bank would be interested In any proposition to purchase I was willing to meet to listen and learn more

as it had a fraud intelligence value to the Bank. Bogus identity documents and utility bills are often used to open fraudulent Bank accounts and the quality of such documents can make it hard for Bank officers to detect Fred Bunn asked If It was convenient for me to meet Barry Sales and his partner, Jason Place in Spain. I later advised Fred Bunn I was due in Gibraltar on business in November (2008) and If that worked I could meet In Spain close to Gibraltar. On Monday 17th November 2008 mid morning I met Fred Bunn In Gibraltar and we travelled to an NH Hotel outside Sotogrande, Cadiz, Spain. In the Hotel coffee lounge Fred Bunn introduced me to Barry Sales and Jason Place. I would describe Barry as white with dark hair.l would describe Jason as with thinning hair. Jason Place and Barry Sales explained to me they owned Confidential Access

Place had a laptop computer with him and using the computer showed me the Confidential Access Web site and a series of screen shots. I recall he was very computer savvy. Jason handed to me a TX Computer Disc (now Marked SYI 1) which contained screen shots and links of the Confidential Access Web

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site and examples of novelty identity documents and Bank statements purchased by customers on line via the Confidential Access web site. I recall Jason and Barry asking me If the Bank would be willing to buy the so for how much. I recall stating would be a

matter for senior Bank management responsible for Fraud Risk in the Bank. I recall they both stated they believed it was worth millions but I recall advising them I was not of sufficient seniority to discuss any numbers explained I had no authority to make any commitments for the Bank but would escalate the matter. The meeting lasted approximately much of the time spent wit I stated I would get back to them via Fred Bunn If the Bank had any Interest In taking their proposition forward. Following this meeting I printed abstracts from the TX CD (Marked SY /1) and CA links and prepared a PowerPoint presentation to brief the Bank's Fraud Risk Management This PowerPoint, dated 3rd December 2008 (now Marked SY /2) has opening slides contain bullet points covering the approach from Fred Bunn (referred to as my source) and 'J&B' (meaning Jason Place and Barry Sales). On Wednesday 3rd December 2008 I briefed Ken Whatmore the Head of Fraud Investigations for Barclays Bank Pic Retail division responsible for Fraudulent accounts In the retail Banking division and Paul Horlick the Barclays Bank Pic Group Head of Fraud I

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Management using the PowerPolnt I had prepared. At the meeting the matter was handed over to Ken Whatmore as any fraudulent Bardays accounts opened using documents acquired via Confidential Access would fall under his area of responsibility. Ken undertook to liaise with Police. The e-mails arranging this meeting are Marked SY/3. Following this meeting I was subsequently advised by Paul Horlick. who had consulted with his senior management that the Bank had no interest in the proposition as the novelty items, and those behind the production of such items, could be criminally liable as such the Bank would not give the proposition any consideration. I contacted Fred Bunn and advised him the Bank had no interest In the proposition and could he advise his clients. I was subsequently advised by Ken Whatmore that he had contacted the Metropolitan Police. They had an ongoing investigation Into Confidential Access and Ken had arranged to meet the officers investigating. Thee-malls arranging this meeting are Marked SY/4 On Monday 5th January 2009 I attended a meeting at Barclays Bank Pic Headquarters at 1 Churchill Place, present were DCI Sean Wainless, DS Paul Simpson and DC George Xinaris from the Metropolitan Police, Economic Crime Department. The officers advised they had made arrests in connection with Confidential Access and authorities In Hong Kong had seized a server containing the CA database. Ken Whatmore expressed an interest in the names on the database to search Barclays

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records for potential fraudulent accounts opened using bogus documents acquire via CA and explained the Intelligence we had obtained, at this stage not disclosing the source, but as I recall the officers advised it had limited value as the authorities in Hong Kong had seized the server with all the CA data. A file note I made of this meeting with Police is Marked SY /5 and the liaison with the

officers was left with my colleague Ken I had no further dealings after this

S.Y

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Si natureo

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Signature witnessed by.