Compliance
Compliance Corner - Lloyds, RBS, Barclays
The latest compliance issues within the financial industry across the world.
Lloyds, RBS & Barclays
The Federal Deposit Insurance Corporation, a US government
agency, has filed a lawsuit against Lloyds Banking
Group, Royal Bank of
Scotland and Barclays over manipulation
of Libor, according to the Times (of London).
FDIC argues that the Libor rate, a benchmark figure that
some of the world’s leading banks charge each other for
short-term loans, was skewed against the banks it had to
rescue during the financial crisis.
The agency has brought a claim against nine banks, including
Barclays, Lloyds Banking Group and RBS, in the High Court, The
Times reports. WealthBriefing understands that FDIC
initially tried to take the lawsuit through the US courts,
before it was thrown out.
There has been no figure suggested on the claim, but The
Times reports it could be the largest Libor-related lawsuit
yet.
A spokesperson for Lloyds Banking Group issued a statement
on the matter, “as the matter is subject to ongoing legal
proceedings it would be inappropriate to comment, other than to
say that we do not believe the claim has any merit and is being
contested vigorously" The FIDC and Barclays have both declined to
comment.
RBS has been contacted by this publication
and will update in due course.
