Banks in Libor probe consider group settlement

[dipsydoodle]

(Reuters) - A group of banks being investigated in an interest-rate rigging scandal are looking to pursue a group settlement with regulators rather than face a Barclays-style backlash by going it alone, people familiar with the banks' thinking said.

Such discussions are preliminary, and it is unclear if regulators will enter these talks, aimed at resolving allegations that banks attempted to manipulate the London interbank offered rate, or Libor, a benchmark that underpins hundreds of trillions of dollars in contracts.

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Still, there are powerful incentives for the banks to enter joint negotiations.

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The sources told Reuters that none of the banks involved now want to be second in line for fear that they will get similarly hostile treatment from politicians and the public. Bank discussions about a group settlement initially took place before the Barclays agreement, and picked back up in the aftermath.

http://uk.reuters.com/article/2012/07/20/uk-banking-libor-settlment-idUKBRE86J00M20120720

[DCKit]

1. They'l pay no more than 10% of what they stole.

They won't get it until we take everything they have.

[dipsydoodle]

2. But don't forget

that, outside of the fines , cases can only be brought in the US against banks listed on the NY stock exchange. Other banks would need to be sued in the countries in which they are listed - Barclays in London for example. US lawyers might not find that to be particularly enthralling.

[Angry Dragon]

3. This will never stop until prison is part of the deal

[DCKit]

4. 18 months in prison is nothing when you come out with a billion to spend.

Until we begin taking their $$$$s away, they won't get it.

[Angry Dragon]

5. 5 to 10 years minimum

and it has to be personal money to make a difference

[lostnote12]

6. Group settlement is a means to avoid discovery.....