Lloyds Banking Group fined $370 million for Libor manipulation

Fines imposed by multiple regulatory bodies in the U.S. and U.K.

While the London interbank offered rate benchmark or Libor, is not necessarily an easy concept to wrap one’s head around, one thing is clear: attempts to distort that rate for personal benefit will result in harsh fines from multiple regulatory bodies. Or at least that seems to be the message following today’s announcement that both U.S. and U.K. agencies will charge Lloyds Banking Group with $370 million in fines over allegations that it manipulated rates to put itself in a better position.

The Department of Justice (DOJ), Commodity Futures Trading Commission (CFTC) and the U.K.’s Financial Conduct Authority (FCA) have each accused the bank of multiple forms of manipulation. An FCA probe revealed that Lloyds attempted to rig the Libor rate for the U.S. dollar and also conspired with New York-based Rabobank to Influence Japanese yen rates; DOJ investigation also revealed multiple attempts at this type of manipulation.

Executive Editor

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Chris DiMarco

Chris DiMarco, Executive Editor of InsideCounsel magazine, has a background in multimedia production with previous involvement in projects in which he developed and created content...

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