Barclays Pays Over $450 Million To Avoid Prosecution In Interest Rate Manipulation Scam


As Current TV's John Fugelsang, filling in for Eliot Spitzer this week reminded us, when average citizens break the law we have to pay fines that might actually act as a deterrent or face jail time and when these bankers and Wall Street commit crimes, they get a slap on the wrist compared to the profit they already extracted and give up their bonuses.

As John noted, you don't go to prison for Wall Street crimes, but you can't say the same for those protesting Wall Street. And he's right, if they cracked down on these bankers stealing the same way they have park zoning laws, there would be no need for an Occupy Wall Street movement.

Barclays to pay more than $450 million in interest-rate settlement:

Barclays Bank PLC has agreed to pay more than $450 million to settle charges it attempted to manipulate key interest rates.

The London-based investment bank announced settlements with the U.S. Department of Justice, the U.S. Commodities Futures Trading Commission and the British Financial Services Authority.

Investigators found the bank manipulated the London InterBank Offered Rate, or LIBOR, and the Euro Interbank Offered Rate, or EURIBOR, benchmark interest rates used in the world's financial markets. [...]

Under the settlements, Barclays would pay the Justice Department a $160-million penalty and cooperate with its ongoing investigation to avoid prosecution. The bank would pay the U.S. Commodities Futures Trading Commission $200 million, with the rest going to the British Financial Services Authority.

In a statement, Barclays Chief Executive Bob Diamond said he and other top executives would forgo bonuses this year.

“The events which gave rise to today’s resolutions relate to past actions which fell well short of the standards to which Barclays aspires in the conduct of its business," Diamond said. "When we identified those issues, we took prompt action to fix them and cooperated extensively and proactively with the authorities. Nothing is more important to me than having a strong culture at Barclays; I am sorry that some people acted in a manner not consistent with our culture and values."


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