Trust has lost all of its value in our state-regulated financial markets July 4, 2012 THE spotlight in the Libor rate-fixing scandal has moved. Questions are being asked about the culpability of the FSA, which may well have ignored repeated warnings about Libor calculations from market participants. The role of the Bank of England and the Treasury is also being questioned. Of course, regulators are not to blame for the [...]
As Barclays’ rate-fixing revelations continue to emerge, should this be the end for Libor? July 4, 2012 YES Tim Price There has to be a more honest and efficient way of establishing market interest rates than having banks submit – whether fraudulently or not – where they think they might be able to borrow from or lend to their competitors, and then crudely averaging the results. One answer might be to allow [...]
RAPID RESPONSES July 4, 2012 Systemic failure [Re: Crisis threatens UK’s entire politico-financial establishment, yesterday] This crisis is not essentially about greed or malfeasance by commercial banks, but about the toxic environment created by decades of misconceived policies by governments, and enablors and abettors in central banks. The Barclays’ affair is potentially explosive, so let’s hope the media start asking [...]
Diamond: Traders’ actions were reprehensible July 4, 2012 Barclays former chief executive Bob Diamond has called the behaviour of those responsible for rigging the rates at which the bank said it was borrowing money “reprehensible”. Diamond, who resigned over the Libor scandal, said the traders responsible were not a true reflection of the bank’s culture. He was facing a grilling from MPs over [...]
FTSE edges down as Libor crisis deepens July 4, 2012 The FTSE 100 edged down with trading subdued as the US was closed for business because of a public holiday. Investors remained glued to the crisis in the banking sector with former Barclays chief Bob Diamond, who quit over the bank’s rate fixing scandal, prepared to be grilled by MPs today. Meanwhile Britain’s service sector [...]
Red alert July 3, 2012 BOB Diamond will today face questions from parliament on his role in the Libor-fixing scandal, following a dramatic 12 hours that began with his resignation as chief executive of Barclays and ended with the Bank of England battling to keep itself out of the crisis. Diamond’s resignation was announced early yesterday morning after he decided [...]
MPs set to grill Bob ahead of their full investigation July 3, 2012 LORDS rejected Labour calls for a judge-led inquiry into the Libor fixing scandal last night, increasing the chance that the government will get its favoured parliamentary investigation into the manipulation of the key inter-bank interest rate. However David Cameron and George Osborne may not get the exact panel of MPs and peers they hope for, [...]
Crisis threatens UK’s entire politico-financial establishment July 3, 2012 THIS is no longer just a crisis for Barclays, even though that particular bank has just suffered a devastating blow. This is now a crisis that could engulf the entire British establishment in a much broader way than anything we saw in 2008-09. The questions are piling up at an astonishing rate. Remember that there [...]
Diamond faces calls to return share awards July 3, 2012 BOB Diamond, who lost his job yesterday, now stands to lose millions of pounds worth of unvested shares as Barclays directors prepare to repossess the former chief executive’s bonuses. Sources close to the matter said yesterday that Diamond, who resigned as boss of Barclays yesterday after the bank was shamed for rigging interest rates, faces [...]
Labour’s role in Libor discussion under scrutiny July 3, 2012 REVELATIONS that “a number of senior officials in Whitehall” allegedly raised questions about Barclays’ Libor submissions last night led to fevered speculation about the previous Labour government’s role in the scandal. The claims are reported in a memo sent by Barclays’ Bob Diamond in 2008 at the height of the financial crisis. Alistair Darling, who [...]