U.S. Probes Role of Big Banks in Libor Manipulation, WSJ Says
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U.S. Securities and Exchange Commission officials are collaborating with Justice Department investigators to see if big banks in Europe and the U.S. colluded to manipulate the London Interbank Offered Rate, or Libor, the Wall Street Journal reported, citing people familiar with the matter.
The investigation is examining the behavior of the banks imediately before and during the financial crisis, in particular whether they understated their own borrowing costs, which are used to set Libor, the newspaper said.