Libor scandal: Tom Hayes sentenced to 14 years in prison – THE WORLD

In the process of manipulating interest rates a London jury has sentenced the former star trader Tom Hayes to 14 years imprisonment. The 35-year-old ex-employees of UBS and Citigroup was suspected of being one of the masterminds in the worldwide scandal involving trickery when reference rate Libor. The eight-member jury found him guilty in all eight counts of conspiracy to commit fraud guilty.

With Hayes was the worldwide interest scandal first time an individual before a grand jury. The trial of the derivatives traders had begun in late May amid great media crush. The British law enforcement agency SFO gave him offense in the years 2006 to 2010.. According to investigators, Hayes was the focus of a merchant cartel that lasted for at least ten banks and brokerage houses. They are colluding to steer the Libor respectively in the desired direction -. So that their individual bets aufgingen

The scandal had major banks around the globe billion cost penalties. On interest rates, such as the Libor or Euribor transactions associated with a volume of many hundreds of trillions of dollars, which can already generate high profits through small movements. Several institutions have already closed multibillion comparisons with various entities, including Hayes’ former employer, UBS, but as the German bank.

In the process Hayes had to pleaded not guilty. An earlier confession he took back when he exchanged his lawyers. In court, he had declared that he did not act dishonorably, but want to make his job easy as perfect as possible. His superiors were informed of the former business practice. His defense argued that the entire system was unfair. The prosecution on the other hand made greed as a motive and said Hayes was responsible for his predicament itself.

The major Swiss bank UBS and the US bank Citigroup wanted not to comment on the judgment further. UBS said it had not been part of the process. This is a matter between the SFO and Hayes. With most authorities, the Institute had already settled the case. Citigroup said Hayes had left the Bank in September 2010.

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