Fannie Mae Sues Banks for $800 Million Over Libor Claims
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Fannie Mae sued nine banks, alleging that their manipulation of the benchmark London interbank offered rate, which four of them have admitted, cost the mortgage-financing company about $800 million.
The U.S. government-owned firm alleged that the banks, including Bank of America Corp., JPMorgan Chase & Co. and Citigroup Inc., acted to suppress the rate though quotes they submitted to the British Bankers Association, according to the complaint filed yesterday in Manhattan federal court.