Three arrested in Libor probe

Three British men have been arrested by the Serious Fraud Office in connection with the investigation into Libor manipulation.

The men, aged 33, 41 and 47, were arrested at residential addresses in Essex and Surrey. They are the first people to be arrested in connection to the alleged manipulation of borrowing rates in London.

Martin Wheatley, managing director of the Financial Services Authority, said in a report released in September that individual bankers guilty of fixing Libor could face jail.

It is not clear if the men are employees of any of the banks accused of involvement in Libor-rigging.