LIBOR Civil Claims Dismissed

A judge on Friday dismissed a “substantial portion” of claims facing a number of banks in a barrage of lawsuits accusing them of interest-rate rigging.

U.S. District Judge Naomi Reice Buchwald in Manhattan ruled for the banks, which include Bank of America Corp , JPMorgan Chase & Co and others, of allegedly manipulating the London Interbank Offered Rate, commonly known as Libor.

The judge granted the banks’ motion to dismiss the plaintiffs’ federal antitrust claims and partially dismissed their claims of commodities manipulation. She also dismissed racketeering and state-law claims.

The decision is a significant setback for private plaintiffs, whose lawsuits had been consolidated before the New York judge as part of a multidistrict litigation proceeding.

In a 161-page opinion, Buchwald said she recognized her ruling might be “unexpected,” since several defendants had paid billions of dollars in penalties to government regulatory agencies…

Thanks to Dr. Detroit for the above link.

Speak Your Mind