The New York Times reports that in the UBS case, federal prosecutors were able to obtain the convictions involving an arcane area of the financial markets. The accusations involve various bankers colluding in setting interest rates at the expense of investors and borrowers.
Hit the link below to access the complete New York Times article:
In UBS Convictions, Parallels to the Libor Investigation
In the meantime, the newspaper reports that the scandal over global interest rates has state officials like Janet Cowell of North Carolina working intensely behind the scenes to build a case for suing the nation’s largest banks.
Ms. Cowell, the state’s elected treasurer, and several of her staff members have spent the summer combing through the state’s investments trying to determine how much the state may have lost because of suspected manipulation of the London interbank offered rate, or Libor, which is used as a benchmark for trillions of dollars of financial contracts around the world.
Hit the link below to access the complete New York Times article:
Banks Face Suits as States Weigh Libor Losses
R.B.S. Insurance Unit to Cut 900 Jobs
With Lax Regulation, a Risky Industry Flourishes Offshore
The Alchemists: Three Central Bankers and a World on Fire
Hubris: How HBOS Wrecked the Best Bank in Britain
