Latest news with #interestraterigging
Reuters
4 days ago
- Business
- Reuters
UK regulator drops cases against Libor scandal traders after court ruling
July 25 (Reuters) - Britain's financial regulator said on Friday that it was dropping proceedings against Tom Hayes and revoking Carlo Palombo's ban from the financial service industry, after the country's top court overturned convictions of both former traders. Hayes, the first trader ever jailed for interest rate rigging, became the face of the global Libor scandal. He challenged his conviction at the Supreme Court, along with Palombo, a former Barclays trader (BARC.L), opens new tab who was found guilty in 2019 of manipulating Euribor, Libor's euro equivalent. The Financial Conduct Authority (FCA) said it would take no further action against either individual.
Free Malaysia Today
5 days ago
- Business
- Free Malaysia Today
Ex-trader Tom Hayes wins UK court appeal to overturn rate-rigging conviction
Tom Hayes had initially received a 14-year prison sentence, later reduced to 11 years on appeal. (EPA Images pic) LONDON : Tom Hayes, the first trader ever jailed for interest rate rigging, had his conviction overturned by Britain's top court today after a years-long fight to clear his name. The UK Supreme Court unanimously allowed Hayes' appeal, overturning his 2015 conviction of eight counts of conspiracy to defraud by manipulating Libor, a now-defunct benchmark interest rate. Hayes had initially received a 14-year prison sentence, later reduced to 11 years on appeal. He served five and a half years before being released on licence in 2021. A former star Citigroup and UBS trader, Hayes became the face of the global Libor scandal and challenged his conviction during three days of hearings at the UK Supreme Court along with Carlo Palombo, 46, a former Barclays trader who was found guilty in 2019 of skewing Libor's euro equivalent, Euribor. The court also quashed Palombo's conviction. He was given a four-year sentence in 2019. Hayes and Palombo had argued that their convictions depended on a definition of Libor and Euribor which assumes there is an absolute legal bar on a bank's commercial interests being taken into account when setting rates. The Libor rate, phased out in 2023, was designed to reflect banks' short-term funding costs and based on daily estimates from a group of banks as to how much they would expect to pay to borrow funds from each other for a range of currencies and periods. Hayes' challenge at the Supreme Court followed a landmark US court decision in 2022 which overturned the Libor rigging convictions of two former Deutsche Bank traders.
Bloomberg
6 days ago
- Business
- Bloomberg
Hayes Libor Victory Puts Convictions in $10 Billion Scandal at Risk
It was an era-defining prosecution for the UK's white collar crime agency. When star trader Tom Hayes was found guilty of rigging a benchmark interest rate in 2015, it set off a raft of other investigations of bankers and traders across the City of London.
Reuters
6 days ago
- Business
- Reuters
Ex-trader Tom Hayes wins appeal to overturn rate-rigging conviction
LONDON, July 23 (Reuters) - Tom Hayes, the first trader ever jailed for interest rate rigging, had his conviction overturned by Britain's top court on Wednesday after a years-long fight to clear his name. The UK Supreme Court unanimously allowed Hayes' appeal, overturning his 2015 conviction of eight counts of conspiracy to defraud by manipulating Libor, a now-defunct benchmark interest rate. The court said there had been "ample evidence" for a jury to reasonably conclude Hayes had conspired with others to manipulate Libor submissions - much of it coming from Hayes' own interviews with Britain's Serious Fraud Office, which brought the charges against him. But the jury ten years ago was misdirected by the judge, the court said, and that "undermined the fairness of the trial". Supreme Court judge George Leggatt said Hayes was entitled to present his defence against allegations that he conspired to submit false information, including his insistence that he acted honestly, and to have those claims fairly considered by the jury. "He was deprived of that opportunity by directions which were legally inaccurate and unfair," the court said, adding that his convictions were "therefore unsafe and cannot stand." Hayes had initially received a 14-year prison sentence, later reduced to 11 years on appeal. He served five and a half years before being released on licence in 2021. A former star Citigroup (C.N), opens new tab and UBS (UBSG.S), opens new tab trader, Hayes became the face of the global Libor scandal and challenged his conviction during three days of hearings at the UK Supreme Court along with Carlo Palombo, 46, a former Barclays (BARC.L), opens new tab trader who was found guilty in 2019 of skewing Libor's euro equivalent, Euribor. The court also quashed Palombo's conviction. He was given a four-year sentence in 2019. The SFO said that after considering the judgment it would not be in the public interest for it to seek a retrial. Hayes and Palombo had argued that their convictions depended on a definition of Libor and Euribor which assumes there is an absolute legal bar on a bank's commercial interests being taken into account when setting rates. The Libor rate, phased out in 2023, was designed to reflect banks' short-term funding costs and based on daily estimates from a group of banks as to how much they would expect to pay to borrow funds from each other for a range of currencies and periods. Hayes' challenge at the Supreme Court followed a landmark U.S. court decision in 2022 that overturned the Libor rigging convictions of two former Deutsche Bank traders.
Reuters
7 days ago
- Business
- Reuters
Ex-trader Tom Hayes wins appeal to overturn rate-rigging conviction at UK top court
LONDON, July 23 (Reuters) - Tom Hayes, the first trader ever jailed for interest rate rigging, had his conviction overturned by Britain's top court on Wednesday after a years-long fight to clear his name. The UK Supreme Court unanimously allowed Hayes' appeal, overturning his 2015 conviction of eight counts of conspiracy to defraud by manipulating Libor, a now-defunct benchmark interest rate. Hayes had initially received a 14-year prison sentence, later reduced to 11 years on appeal. He served five and a half years before being released on licence in 2021. A former star Citigroup (C.N), opens new tab and UBS (UBSG.S), opens new tab trader, Hayes became the face of the global Libor scandal and challenged his conviction during three days of hearings at the UK Supreme Court along with Carlo Palombo, 46, a former Barclays (BARC.L), opens new tab trader who was found guilty in 2019 of skewing Libor's euro equivalent, Euribor. The court also quashed Palombo's conviction. He was given a four-year sentence in 2019. Hayes and Palombo had argued that their convictions depended on a definition of Libor and Euribor which assumes there is an absolute legal bar on a bank's commercial interests being taken into account when setting rates. The Libor rate, phased out in 2023, was designed to reflect banks' short-term funding costs and based on daily estimates from a group of banks as to how much they would expect to pay to borrow funds from each other for a range of currencies and periods. Hayes' challenge at the Supreme Court followed a landmark U.S. court decision in 2022 which overturned the Libor rigging convictions of two former Deutsche Bank traders.
