Attestation Update – A&A for CPAs

Technical stuff for CPAs providing attestation services

Dutch bank fined over $1B for manipulating Libor

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Rabobank, based in Holland, will pay a 774M Euro fine, or about $1.065 billion, to U.S. and European regulators.  That according to a Reuters report today:  Dutch Rabobank fined $1 billion of Libor scandal.

Regulators in Japan forced Rabobank to increase their compliance staff in Japan after the bank was caught trying to manipulate the Yen Libor.

The British regulators, the Financial Conduct Authority (FCA) said

…it had found over 500 instances of attempted Libor manipulation, directly or indirectly, involving at least nine managers and 19 other individuals based across the world.

I think from the context of the article, that would be the violations at just Rabobank. Seems to me that’s too small a tally to be the total wrongdoing across the banking industry

The Justice Department in the U.S. has negotiated a deferred prosecution agreement with the bank, according to the article.

The pull quotes from internal e-mails are as horrible as you would expect.

For those of us trying to keep score at home, this is the second largest fine for cooking Libor. The article says UBS is in first place at $1.5B.

Unlike the mess JP Morgan is in with Little Orphan Fannie and uncle Freddie, in the Libor mess I’m all for hefty fines. Seems to me there’s lots more room for individual criminal indictments than the two currently known.

Written by Jim Ulvog

October 29, 2013, 13:12 pm at 1:12 pm

Posted in Other stuff

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