High street bank Barclays has been hit with a £1.12m fine by the Financial Services Authority, its second hefty penalty from the financial regulator in little over a week.Investment bank arm Barclays Capital received the fine for failing to separate its own money from its clients', with at one point over £750m of its customers' cash potentially at risk. The penalty follows a record £7.7m fine imposed on the bank last week for mis-selling two investment funds.The FSA said that for over eight years, between 1 December 2001 and 29 December 2009, Barclays Capital failed to segregate client money maturing from its sterling money market deposits on an intra-day basis.The size of the amounts involved rose from £6m in 2002 to £387m in 2009. The highest amount held in the account and at risk at any one time was £752m. "Had the firm become insolvent within the five to seven hours each day in which the funds were unsegregated, this client money would have been at risk of loss," the FSA said.Margaret Cole, managing director of enforcement and financial crime, added, "Barclays Capital committed a serious breach of FSA client money rules by failing to segregate millions of pounds of its clients' money for over eight years. This posed a significant risk and the penalty reflects the amount of client money involved in this breach."The regulator added that the fine reflected Barclays' action to rectify the situation once it was discovered and that nobody suffered any loss. The fine would have been £1.61m if Barclays had not co-operated, the FSA added.