Houston Sues Banks Over Libor Losses On $1.1B In Swaps

Law360, New York (July 23, 2013, 3:31 PM EDT) -- The city of Houston on Tuesday sued 17 major banks in Texas federal court, alleging their manipulation of the London Interbank Offer Rate had artificially suppressed its returns on $1.1 billion in interest rate swap agreements.

According to Houston, the banks — a group of powerhouse financial institutions from across the globe, including Bank of America Corp., JPMorgan Chase & Co., HSBC Holdings PLC and Deutsche Bank AG, among others — had acted together in a “global conspiracy” to manipulate Libor, a benchmark used to set...
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