Financial News

  • 19 June 2013, 0:19

Libor Scandal: Ex-Trader Faces Eight Charges

A former City trader has been charged in connection with the investigation by the Serious Fraud Office (SFO) into the manipulation of the Libor interbank lending rate.

Tom Hayes was formally charged with eight offences of conspiracy to defraud when he attended Bishopsgate Police station in the City on Tuesday morning.

The 33 year-old from Surrey, who used to work for UBS and Citigroup, was one of the three individuals arrested on December 11 last year by officers from the SFO and City of London Police.

He will appear before Westminster Magistrates' Court at a later date - expected on Thursday.

The SFO said its investigation into the manipulation of Libor was continuing.

In a separate development amid the wider world probe into the alleged fixing of bank rates, authorities in Hong Kong confirmed that its investigation into possible benchmark rate manipulation had been extended to include HSBC and a number of other banks.

Hong Kong Monetary Authority (HKMA) announced in December that is was investigating UBS about possible misconduct relating to its submissions for the Hong Kong Interbank Offered Rate (Hibor).

Last week, the Monetary Authority of Singapore (MAS) claimed that traders from 20 banks, including HSBC, had tried to inappropriately influence benchmark rates in the Southeast Asia city-state.

"As home regulator of HSBC in Hong Kong, the HKMA has asked HSBC to promptly implement remedial measures and actions as required by the MAS," HKMA said.