Two former Societe Generale bank managers charged over Libor manipulation in the US

 
William Turvill
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Danielle Sindzingre and Muriel Bescond were indicted in the US on Thursday (Source: Getty)

Two French bankers have been charged in the US over Libor manipulation.

Danielle Sindzingre and Muriel Bescond, former managers at Societe Generale, were indicted by US authorities on Thursday.

They are accused of “participating in a scheme to transmit false and misleading information related to the London Interbank Offered Rate”, according to a statement from the Department of Justice.

“The integrity of our global financial markets relies upon each of its participants providing complete and accurate information,” said acting US attorney Bridget Rohde, of the Eastern District of New York.

“As alleged, the defendants acted in contravention of this principle and the laws designed to uphold it by causing their employer, Societe Generale, to submit falsified US dollar Libor rates, which in turn effected financial transactions across markets worldwide.

“We will continue to vigorously root out and prosecute such crimes.”

Acting assistant attorney Kenneth Blanco said: “The allegations in today’s indictment suggest complete and total disregard for the integrity of the financial markets and for innocent consumers and everyday people whose personal finances hinge on the interest rates they pay on various loans.”

Sindzingre, who was the bank’s global head of treasury, and Bescond, head of the Paris treasury desk, were charged in the Eastern District of New York with “one count of conspiring to transmit false reports concerning market information that tends to affect a commodity and four counts of transmitting such false reports”.

The bank said in a statement: “Societe Generale has received formal requests for information from several authorities, including the US Department of Justice, in connection with investigations regarding submissions to the British Bankers Association for setting certain benchmark rates, including the London Interbank Offered Rates (Libor)... Societe Generale is cooperating with the investigating authorities.”

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