Just when you thought it was all over (or couldn't get any worse)...
In the last decade, 37 traders and brokers have been prosecuted by the US Department of Justice and the UK's Serious Fraud Office for their roles in 'rigging' interest-rates during the Great Financial Crisis (GFC).
However, in extracts from Rigged, a book by Andy Verity on the Libor-rigging scandal (published in The Times), he explains how in 2008, it was central banks and government that pressed banks to bring down key interest rates, but none of this evidence was ever shown to jurors in nine criminal trials which resulted in multiple jail sentences for those involved (19 convicted, 9 jailed).
Backed up and supplemented by published data, The BBC reports that the suppressed evidence indicates that in October 2008, central banks intervened on a large scale in the setting of Libor and Euribor.
This was at the same time as dozens of former traders were criminally prosecuted for much less serious rate “manipulation”, it is claimed.
In October 2008 there was an international drive, involving the central banks of the UK, US and eurozone, to get Libor down and restore a sense of calm to the market, at a time when banks lending had almost ground to a halt.
Andrew Tyrie, who chaired the UK Treasury Committee of MPs when it enquired into Libor in 2012, told the BBC that he believed Parliament "appears to have been misled".
"The evidence that Mr Verity has unearthed strongly suggests that the committee's inquiry into the Libor scandal was not told the whole truth.
"The public rely on Parliament to get to the truth. This case illustrates why Parliament should bolster its information-gathering powers with more effective sanctions against those who provide less than the full picture. Parliament appears to have been misled and, if that's the case, should not let it rest."