RBS said to dismiss four bankers as FSA probes LIBOR manipulation

The Royal Bank of Scotland, the UK's largest government-owned lender, has dismissed at least four employees in connection with a probe of potential interest-rate manipulation, sources told Bloomberg News.

Traders at different banks appeared to be trying to influence the movement of LIBOR, the London interbank offered rate, and similar benchmarks to profit from derivatives tied to the rates, the Financial Times reports, citing information submitted to regulators. Citigroup and Deutsche Bank are also said to have dismissed, put on leave or suspended traders as part of the investigation, according to two more people, who declined to be identified. The Times reported yesterday that Icap, “is looking into the conduct of three of its staff in regards to an alleged manipulation of the London ...