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RBS fined £390m over Libor failings
by Alex Steger on Feb 06, 2013 at 13:24
Eight left the organisation before disciplinary action could be taken and one was dismissed for misconduct not related to these findings.
In addition to the 21, two managers with supervisory responsibilities have also left RBS.
The FSA said RBS’s misconduct was widespread with at least 219 requests for inappropriate submissions documented – an unquantifiable number of oral requests made.
It said RBS did not have any Libor-related systems and controls in place until March 2011, and failed to adequately address the risk that derivatives traders would seek to influence its Libor submissions until June 2011.
It also failed to adequately address the risk that money market traders would take into account the impact of Libor on the profitability of transactions in their money market books, until March 2012.
Hester said: ‘Libor manipulation is an extreme example of a selfish and self-serving culture that took hold in parts of the banking industry during the financial boom. We will use the lessons learned from this episode as further motivation to reject and change the vestiges of that culture.’
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