Saturday 26th October 2024
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Comsure operates in:the UK, Jersey, Guernsey

Deutsche Bank Fined $2.5 Billion for LIBOR Manipulation

Deutsche Bank has been fined $2.5 billion total by U.S. and British regulators for alleged LIBOR misconduct.

LIBOR is a benchmark rate that some of the world’s leading banks charge each other for short-term loans. The U.S. and Britain accused Deutsche Bank employees of manipulating their LIBOR submissions, colluding with other banks that sat on the panel that submitted the rates on which EURIBOR is based and requesting that they alter their submissions, and offering cash in the market to create the impression of a change in the supply of funding in order to influence other panel banks to alter their submissions.

The alleged LIBOR manipulation took place between 2005 and 2009. The bank is accused of having inadequate systems and controls in place to stop the violations and of misleading regulators while under investigation.

The $2.5 billion breaks down to £227 million ($340 million) by the U.K. Financial Conduct Authority, $800 million by the U.S. Commodities Futures Trading Commission, $775 million by the U.S. Department of Justice, and $600 million by the New York Department of Financial Services.


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