Whisk 80ml (1/3 cup) of the oil, 2 tablespoons vinegar, garlic and sugar together in a large bowl until well combined. Season. Add fennel and onion, stir to coat. Set aside for 10 minutes.
Preheat a non-stick frying o barbecue grill on medium-high. Brush the capsicum with a little of the remaining oil and cook skin side down for 10 minutes or until soft and the skins start to blacken. Remove to a board. Tear the bread into bite-sized pieces and drizzle with the remaining oil. Add to the pan, toss until edges become a little golden. Remove from heat.
Coarsely chop the capsicum, add to the fennel. Add cucumber, tomatoes, olives, capers, basil leaves and bread. Toss gently to combine. Season and serve.