Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

US and UK regulators hit RBS with £390m Libor fine

1 Comment
US and UK regulators hit RBS with £390m Libor fine

The Financial Services Authority (FSA) has fined Royal Bank of Scotland (RBS) £87.5 million for misconduct relating to the London Interbank Offered Rate (LIBOR).

Earlier today the bank warned investors it faced ‘significant penalties’ for its role in the Libor-rigging scandal, while the market was braced for a fine of up to £500 million, taking into account penalties from the US and UK regulators.

The FSA said the misconduct at RBS was 'widespread', with more than 200 requests for inappropriate submissions uncovered, and the bank was lacking in controls to address the risks these created.

'The integrity of benchmark reference rates such as LIBOR is of fundamental importance to both UK and international financial markets.  The findings set out in our notice today demonstrate a failure by RBS to take that wider context into account,' said Tracey McDermott, the FSA's director of enforcement and financial crime.

'During the course of the FSA's work on LIBOR, RBS provided the FSA with an attestation that its LIBOR related systems and controls were adequate.  This was not correct,' McDermott added.

Following the FSA's announcement, US authorities issued a statement outlining their action against RBS.  American regulators fined the bank £07 million, taking the bank's total penalty to £390 million.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Video special: what Scottish DFMs think of SNP election flop

Video special: what Scottish DFMs think of SNP election flop

As delegates gathered for Citywire Scotland, we asked them their take on the election.

Play Keith Skeoch: 'passive has a part to play'

Keith Skeoch: 'passive has a part to play'

In the third part our series, Skeoch outlines his vision for Standard Aberdeen.

2 Comments Play Keith Skeoch: why I believe markets will make 'substantial returns'

Keith Skeoch: why I believe markets will make 'substantial returns'

In an exclusive interview, Standard Life CEO Keith Skeoch tells us why he takes an optimistic view on markets just about everywhere.

Read More
Your Business: Cover Star Club

Profile: Rathbones' fund boss on spotting emerging talent

1 Comment Profile: Rathbones' fund boss on spotting emerging talent

A great fund manager is really easy to spot, says Mike Webb, chief executive of Rathbones Unit Trust Management

Wealth Manager on Twitter