His ‘Nickname Was Dr. Death’ -- The Barclays Trial in 10 Quotesby
Three former Barclays Plc traders, Jonathan Mathew, Jay Merchant and Alex Pabon, were found guilty of manipulating Libor. The jury was unable to reach a verdict on two others, Stylianos Contogoulas and Ryan Reich. Here are the highlights from the 11-week trial taken from testimony, e-mails, phone conversations and prosecution arguments:
Prosecutor James Hines
"These guys, we submit, are in an entirely different league. None of these men were out of their depth. None of them lacked the insight to appreciate exactly what was going on. This type of banking is a young person’s game," said prosecutor James Hines in his closing speech.
"It is no better than a bookmaker who says, ‘if you look at that betting slip there is nothing that says I cannot bribe the jockey or nobble the horse,’" Hines said comparing Libor manipulation to gambling.
"Like he had a 12-inch kind of baseball bat on his desk which he would occasionally whack me round the back of the head or over the knuckles with if I’d done something wrong. It wasn’t particularly hard. It was more designed to humiliate me and kind of keep me in line," said Jonathan Mathew, testifying about his relationship with Peter Johnson.
"Truth be told, you may think Jonathan Mathew is no mathematical genius. He’s not a brilliant man, nor was he cherry-picked by Barclays from the premier educational institutions of the world," Bill Clegg, Mathew’s lawyer, said in his closing argument.
"Mr. Hines, it’s been 2 1/2 months in this trial. As you know, from everything we’ve been going through, compliance checks any mail whether it’s to your mother or to your trader or to a cash desk. What you’re suggesting is ridiculous," said Jay Merchant, responding to questions about getting juniors to do his "dirty work."
“It feels very sad that he is doing what he is doing,” Jay Merchant said in reference to Barclays executive Mike Bagguley’s testimony that Merchant was a "work acquaintance." Bagguley “trained me up and was making requests from my first days."
"I get another one of these lovely shoulder taps from Mr. Harrison and this time I go to meet a man that was -- whose nickname was Dr. Death” said Reich, talking about when he was put on leave from the bank. “I’d never met him before. He’s in HR,"
"I give everything that I do 100 percent. Banking you really don’t have a choice. You know, in fact you’re probably asked to give more than you’d want to give,” Reich said. “One of the things I struggled with with banking was sort of work-life balance because they want you to work just obscene hours and they seemingly never want you to go home and do anything else."
"This was a very small process of what we did every day and I’m not saying I didn’t plan my mind to a lot of different things in what we were doing every day, but they were significantly more important than anything that we’re looking at here," Pabon said about the importance of Libor requests.
"Hey, listen, PJ’s gonna jam that s--t tomorrow. We’re going to get this s--t low especially on the rally like this," Pabon said in evidence shown to the jury, talking about the next day’s Libor rate.