Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

HSBC, Citigroup, and Deutsche Bank agree to pay combined US$132mln to settle a US Libor class action

HSBC Holdings PLC, Citigroup Inc, and Deutsche Bank AG have agreed to pay a combined US$132mln to settle a US class action brought by futures traders accusing them of manipulating the Libor benchmark interest rate, according to a Reuters report
HSBC sign
HSBC, Citi, and Deutsche Bank have agreed to each pay US$33.4mln, US$80mln, and US$18.5mln respectively, according to a filing in the Manhattan federal court

HSBC Holdings PLC (LON:HSBA), Citigroup Inc, (NYSE:C) and Deutsche Bank AG have agreed to pay a combined US$132mln to settle a US class action brought by futures traders accusing them of manipulating the Libor benchmark interest rate, according to a Reuters report.

The news agency said HSBC, Citi, and Deutsche Bank have agreed to each pay US$33.4mln, US$80mln,and US$18.5mln respectively, according to a filing in the Manhattan federal court.

READ: HSBC's current head of Retail Banking and Wealth Management to be next CEO

The money will go to proposed classes consisting of anyone who traded in Eurodollar futures on exchanges, including but not limited to the Chicago Mercantile Exchange, between 1 January  2003 and 31 May 2011, according to the filing.

"We are pleased the matter is resolved," HSBC spokesman Rob Sherman told Reuters.

Banks use Libor, or the London Interbank Offered Rate, to set rates on hundreds of trillions of dollars of credit card, mortgage, student loan and other transactions, and to determine the cost of borrowing from one another.

READ: HSBC boss confirms plans to shift UK jobs to Paris in event of 'hard Brexit'

The futures traders' lawsuit is among many brought by various investors in Manhattan court accusing banks of colluding to rig rates or prices in various financial and commodities markets.

View full HSBA profile View Profile

HSBC Timeline

Related Articles

1524578583_cannabis-plants.jpg
April 24 2018
Redfund is positioning itself to become a top-tier cannabis incubator and accelerator

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use