A former supervisor of Deutsche Bank’s pool trading desk and a former Deutsche Bank derivatives trader have been found guilty in a New York Southern District court for participating in a scheme to manipulate the London Interbank Offered Rate, better known as LIBOR, which the U.S. Justice Department calls a “critical global benchmark tied to… Read More >>
Citi Settles Benchmark Manipulation Charges with 42 States
Citibank has settled with 42 states in a major case based on charges of fraudulent conduct via the alleged manipulation of the U.S. Dollar LIBOR benchmark interest rate and will be paying $100 million as part of a recent settlement. The LIBOR benchmark, now overseen by the ICE Benchmark Administration (IBA), helps financial services firms… Read More >>
ISDA-Led Group Wants to End Libor, Euribor Benchmarks
The International Swaps and Derivatives Association (ISDA) is leading a group of securities industry associations in a drive to move financial markets closer to alternative risk-free rates (RFRs) and away from interbank offered rates, the “ibor” behind the Libor and Euribor benchmarks applied to contracts and business practices. The Libor, Euribor and Tibor benchmarks are… Read More >>
Barclays to Pay $100M to Settle U.S. Libor Case
Barclays Bank and its investment banking arm Barclays Capital Inc. have agreed to a $100 million, 44-state settlement in the bank’s latest chapter of the alleged fraud stemming from the rigging of the London Interbank Offered Rate (Libor) and other benchmark interest rates, according to the office of Eric T. Schneiderman, the state attorney general… Read More >>
Libor Convictions Give U.K. Regulator a Reprieve
The recent sentencing of four former Barclays traders over Libor has given a much needed boost to the U.K.’s Serious Fraud Office (SFO) whose future has been in doubt due to a mixed set of results over the last few years. Among the four men, Jay Merchant, a former trader at Barclays in New York,… Read More >>
Citi to Pay $425M to Settle Benchmark Abuse Cases
Banking giant Citi and some of its key affiliates have agreements with the CFTC to settle the regulator’s investigations into alleged abuses of the London Interbank Offered Rate (Libor), the Euroyen Tokyo Interbank Offered Rate (Euroyen Tibor) and the International Swaps and Derivatives Association Fix (Isdafix) interest rates swaps benchmarks. “Separately, Citi is charged with… Read More >>
All Eyes on the Barclays Libor Trial
The outcome of the current Libor trial of five former Barclays traders in London is too difficult to forecast but lawyers expect that a guilty verdict could unleash a wave of other criminal and civil cases as well as lend support to the beleaguered Securities Fraud Office (SFO). “This case has generated a great deal… Read More >>
ICE Issues Roadmap for Libor Reform
Intercontinental Exchange (ICE), an operator of stock exchanges and clearinghouses, including the New York Stock Exchange, reports that its ICE benchmark administration (IBA) has published a roadmap for the evolution of ICE Libor, formerly the BBA’s (British Bankers’ Association) Libor. Libor is, of course, the London interbank offered rate, a measure of major London banks’… Read More >>
Two Ex-Rabobank Traders Face Jail Time in the U.S.
While U.S. presidential candidates cry for more investment banking personnel to be in orange jumpsuits, two former derivatives traders for Rabobank, headquartered in Utrecht, The Netherlands, might one day be donning new outfits as they have been sentenced to serve time in a U.S prison. The sentencing of the two British nationals last week followed… Read More >>
Libor Acquittals Raise Doubts About SFO’s Future
The six acquittals in the recent Libor trial were seen as a blow to the Securities Fraud Office (SFO), the beleaguered regulator that savored victory in Tom Hayes’ conviction and unexpected long sentence. While it is too early to determine the outcome of the high profile Euribor cases set for trial next year, an unsuccessful… Read More >>
