FDIC Sues 16 Banks Over Alleged Libor-Rigging

Law360, New York (March 14, 2014, 7:27 PM EDT) -- The Federal Deposit Insurance Corporation sued 16 major banks, including Bank of America Corp. and Barclays Bank PLC, in New York federal court on Friday for allegedly manipulating the London Interbank Offered Rate in order to boost profits.

Filing on behalf of 38 banks taken into receivership, the FDIC accused the 16 banks of conspiring to suppress Libor from 2007 to 2011 in order to pay lower interest rates to IndyMac Bank, Washington Mutual Bank and several other failed banks.

“Financial institutions around the world, including...
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