RBS fined £390m for 'widespread misconduct' over LIBOR

RBS has been fined a collective £391m for its role in the LIBOR scandal, with the FSA's investigation finding over 200 "inappropriate" rate submissions.

The fines, made up of an £87.5m FSA fine and over £300m in US penalties, relate to "widespread" misconduct at the bank in its attempts to manipulate the London Interbank Offered Rate. "RBS established a business model that sat derivatives traders next to LIBOR submitters and encouraged the two groups to communicate without restriction despite the obvious risk that derivatives traders would seek to influence RBS' LIBOR submissions," the FSA said in a statement. "The integrity of benchmark reference rates such as LIBOR is of fundamental importance to both UK and international financial ...