06:52 AM EST, 03/02/2026 (MT Newswires) -- Barclays ( BCS ) had been blocking certain transactions linked to London-based mortgage provider Market Financial Solutions (MFS) months before the firm collapsed last week amid fraud allegations, the Financial Times reported Monday.

The report said the bank froze all MFS accounts in January after spotting irregularities.

Other lenders, including private credit firm Castlelake, had also raised red flags about MFS following the failures of US companies Tricolor and First Brands Group, the report added.

Barclays ( BCS ) and other investors had extended roughly 2 billion pounds ($2.68 billion) in financing to MFS through bridging loans, backed by collateral arranged by the Mayfair-based, family-run firm, according to the Financial Times.

Barclays ( BCS ), which provided banking services to MFS and had around 600 million pounds in exposure, reportedly blocked transactions in late 2025 before freezing the accounts entirely in January.

Barclays ( BCS ) did not immediately respond to MT Newswires' request for comment.

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