Mark Carney, the future governor of the Bank of England, has described the behaviour surrounding Libor as “reprehensible” and says those responsible should be prosecuted to the “full extent of the law”.
Carney told the Treasury select committee at an evidence session today that such conduct issues where not the responsibility of the Bank of England.
However, he said: “The behaviour that’s been exhibited and confirmed this week, particularly around for example Libor, is reprehensible and should be prosecuted to the full extent of the law in the various jurisdictions that are affected.”
The UK Government announced yesterday that the Royal Bank of Scotland would be required to meet the costs of US fines for Libor rigging from staff bonuses and pay. The bank was fined a combined £390m by UK and US regulators.