UBS will be fined $1.5 billion for its role in this summer's London Interbank Offered Rate scandal.
We wrote this summer about the rigging of LIBOR, the interest rate benchmark to rule them all. It affected rates on everything from mortgages to credit cards and many other loans, and investigations have found several banks were doing it for a while. Businessweek explains what’s happening to one of the culprits…
Fines from the U.S. Commodity Futures Trading Commission and the U.S. Department of Justice total $1.2 billion, UBS said in a statement today. It will pay 160 million pounds ($260 million) to the U.K. Financial Services Authority, the largest- ever fine imposed by the regulator, and disgorge 59 million francs in estimated profits to the Swiss Financial Market Supervisory Authority.
You can read about the bank’s offenses in detail at the link. But for comparison purposes, this is three times what Barclays, a big British bank, was fined for its role.