LONDON, Sept 5 (Reuters) – Broker-dealer ICAP is in
advanced talks with U.S and British regulators over a deal to
end an investigation into its alleged role in the manipulation
of benchmark interest rates, the Wall Street Journal reported on
Thursday.
Citing people familiar with the negotiations, the newspaper
said an agreement with the U.S. Justice Department and Commodity
Futures Trading Commission (CFTC) and the UK Financial Conduct
Authority (FCA) was likely in the coming weeks, although it
could be delayed.
ICAP declined to comment. The U.S. Justice Department had no
immediate comment. Neither the CFTC nor the FCA could be
immediately reached for comment.
British and U.S. regulators have so far fined three banks,
UBS, Barclays and Royal Bank of Scotland
, a total of $2.6 billion over the rigging of the London
Interbank Offered Rate (Libor), which is used to price trillions
of dollars worth of products, including derivatives and
mortgages.
British prosecutors have alleged in court that former UBS
and Citi trader Tom Hayes conspired with employees from at
least 10 financial institutions, including ICAP, to manipulate
rates.
Earlier this year, ICAP said none of its senior management
was ever aware of, or involved in, the attempted manipulation of
benchmark interest rates.
