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UBS made at least 330 written requests to ICAP brokers for inaccurate interest-rate information, the regulators said. Weak supervision by ICAP allowed the misconduct to continue for more than four years, they said. "Any market participant who seeks to undermine the integrity of a global benchmark interest rate must be held accountable," CFTC Enforcement Director David Meister said in a statement. The process of setting the LIBOR has come under scrutiny since Barclays bank admitted in June 2012 that it had submitted false information to keep the rate low. Barclays agreed to pay a $453 million fine, and its chief executive and chairman both resigned soon afterward. A number of U.S. cities and municipal agencies have filed lawsuits against some of the banks that set the LIBOR rate. They are seeking damages for losses suffered as a result of an artificially low rate. Local governments hold bonds and other investments whose value is pegged to LIBOR. Under a change announced in July, the London-based company that owns the New York Stock Exchange, NYSE Euronext, will take over supervising the setting of LIBOR from the British Bankers' Association. The changeover is scheduled to be completed by early next year.
[Associated
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