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Barclay Boys to Pay Uncle After Admitting Ritz Hotel Bugging

Barclay Boys to Pay Uncle After Admitting Ritz Hotel Bugging

(Bloomberg) -- Billionaire businessman David Barclay’s sons will pay damages to David’s twin brother after acknowledging that one of the relatives bugged Frederick Barclay at the Ritz Hotel in London.

Alistair Barclay “thought it necessary” to record Frederick and his daughter Amanda Barclay’s private conversations at the hotel because he “was very troubled” that the two posed “a significant risk of harm to his brothers Aidan and Howard Barclay,” and their interests, a lawyer for the sons said in a filing Monday.

David Barclay’s sons will pay general damages for misuse of private information and breaches of confidence, the attorney said in the filing. They will attempt to agree to the levels of compensation privately, but will seek a judge’s ruling if they fail, the lawyer said.

The admissions may be an attempt to resolve a legal spat that has opened a window into the relationship between the reclusive billionaire twins. The Barclay clan controls the Daily Telegraph newspaper and other businesses at the heart of the U.K. establishment.

“We do not dispute that the recordings were made and discussed between us,” David’s sons said in a statement sent with their defense Monday. “We did not conspire to injure any business or financial interest of Sir Frederick or Amanda. That was never our intention and there was no conspiracy as alleged.”

They contest Frederick and Amanda’s claims that they suffered economic loss as a result of the recordings and say they are applying to the court for those claims to be struck out.

Alistair Barclay purchased an “off-the-shelf” recording device from a central London shop, according to the filing. The bug was put in the conservatory at the Ritz in early November until mid-January, according to the filing. The bug was placed to capture private discussions between Frederick and Amanda, who were negotiating the sale of the historic hotel near Buckingham Palace.

Frederick Barclay declined to comment on his nephew’s defense.

The Ritz was sold for around 800 million pounds ($1 billion) in March.

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