The focus of recent headlines on the fallout from the LIBOR
manipulation scandal has shifted from financial institutions to the
individuals charged with the manipulation of the benchmark rate.
While investigations into financial institutions continue, with
Deutsche Bank becoming the latest to enter a settlement with
regulators, the first individual, Tom Hayes, has been found guilty
and sentenced to 14 years in prison. In this article, we look at
recent developments in LIBOR actions internationally and conclude
with a broader look at developments in relation to benchmark rate
rigging.
Criminal prosecutions of individuals
In July 2015, a jury in Southwark Crown Court found Tom Hayes to
be guilty of 8 counts of conspiracy to defraud, sentencing him to
14 years in prison. Tom Hayes, the former UBS and Citigroup trader,
was the first of 13 individuals who have been charged following the
Serious Fraud Office's ("SFO") investigation into the
manipulation to stand trial.
