US suit alleges 12 banks colluded in huge forex market
Published on Apr 2, 2014 1:35 AM
NEW YORK (AFP) - A dozen banking giants have been sued in New York for allegedly fixing global foreign exchange rates in the latest ripple to accompany government probes of the huge market.
The defendants in the class-action lawsuit, which include BNP Paribas and JPMorgan Chase, shared confidential information during private online chat sessions to collude and fix trades on the key WM/Reuters foreign exchange rate, which is set each afternoon in London, according to a complaint filed Monday.
The conspiracy "impacted the pricing of trillions of dollars' worth of FX Instruments, inflicting severe financial harm on Plaintiffs and members of the Class," the complaint said.
The complaint did not quantify the losses, calling the impact of the rate-fixing "presently undetermined." The other defendants in the case are: Bank of America, Barclays, Citigroup, Credit Suisse, Deutsche Bank, Goldman Sachs, HSBC, Morgan Stanley, RBS and UBS.
To continue reading, log in if you are a subscriber
Enjoy 2 weeks of unlimited digital access to The Straits Times. Get your free access now!