Support 100 years of independent journalism.

  1. Business
27 June 2012

Barclays pays $450m in Libor settlement

Barclays has been fined for misconduct

By New Statesman

Barclays is to pay at least $450m after it was penalised for attempted manipulation of Libor, the interbank lending rate. 

Barclays agreed to pay sums to the US Justice Department and the UK’s Financial Services Authority, and will pay them fines of $160m and $92.8m respectively. 

The US Commodity Futures Trading Commision handed out the penalty after it found that the bank had been falsely reporting the benchmark figure over a four year period, sometimes as often as once a day. It ordered the bank to pay $200m, and said it was the largest civil penalty it had ever imposed. 

Libor is used to price over $350trn in financial products world wide. Barclays is not the only bank under investigation. Others include Citigroup, HSBC, RBS, and UBS. 

Other authorities involved in investigating Barclays include the European Commission and Japan’s Financial Services Authority. 

Sign up for The New Statesman’s newsletters Tick the boxes of the newsletters you would like to receive. Quick and essential guide to domestic and global politics from the New Statesman's politics team. The best of the New Statesman, delivered to your inbox every weekday morning. The New Statesman’s global affairs newsletter, every Monday and Friday. A handy, three-minute glance at the week ahead in companies, markets, regulation and investment, landing in your inbox every Monday morning. Our weekly culture newsletter – from books and art to pop culture and memes – sent every Friday. A weekly round-up of some of the best articles featured in the most recent issue of the New Statesman, sent each Saturday. A weekly dig into the New Statesman’s archive of over 100 years of stellar and influential journalism, sent each Wednesday. Sign up to receive information regarding NS events, subscription offers & product updates.
I consent to New Statesman Media Group collecting my details provided via this form in accordance with the Privacy Policy