Banks Including Deutsche Bank AG Investigated In Libor Probe-Reuters

Reuters reported that 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. 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. Still, there are powerful incentives for the banks to enter joint negotiations. Barclays Plc was the first to settle with U.S. and British regulators, paying a $453 million penalty and admitting to its role in a deal announced June 27. Bank discussions about a group settlement initially took place before the Barclays agreement, and picked back up in the aftermath. It is unclear which banks are involved in the potential settlement talks. More than a dozen banks are being investigated in the scandal, including Citigroup Inc, HSBC Holdings PLC, Deutsche Bank AG and JPMorgan Chase & Co.