July 20th, 2012 at 5:34PM

What I love about the LIBOR scandal:

It’s more proof that conspiracies actually do happen.

People at the top have each other’s emails and phone numbers. They talk to each other. And they strike deals.

The LIBOR, a benchmark for interest rates around the world, is determined by surveying 16 banks on what they think the LIBOR should be, throwing out the 4 highest and the 4 lowest, and averaging the estimates in the middle. It’s determined this way every day.

To rig it, you need pretty much all 16 banks in on it.

Literally the definition of an international banking conspiracy.

#libor#blogpost#banking cartel#banking conspiracy#money#currency#conspiracy#international banking cartel#collusion
July 20th, 2012 at 5:26PM
Well, the Libor scandal presents really the mother of all regulatory dilemmas, because this scandal could not have happened if it was just one or two or even three banks acting as rogue participants. The way Libor works is, they take a survey of 16 banks every day. They take the four highest numbers and the four lowest numbers, and they throw them out. They average out the remaining numbers. And what that means is that pretty much all the banks have to be in on it in order to move the needle in any one direction. So you’re talking about 16 of the world’s biggest, most powerful financial institutions. And if they’re all cooperating in what essentially is a gigantic international price-fixing operation, what do regulators do? — Matt Taibbi: Libor Rate-Fixing Scandal “Biggest Insider Trading You Could Ever Imagine” via Democracy Now! (via theamericanbear)

(via randomactsofchaos)
27 notes Source: theamericanbear #quote#wisdom#banking cartel#international banking cartel#banking#banks#money#currency#conspiracy#libor#libor scandal#economics
July 8th, 2012 at 9:05PM
If Everyone Knew...
1 note #if everyone knew#stumblin#conspiracy#government#usa#america#fuck us#stupid people#stupidity
July 7th, 2012 at 9:55PM

socialuprooting:

LIBOR Scandal Broken Down By Chris Hayes

On Tuesday, Barclays CEO Robert Diamond stepped down in the wake of a price-fixing scandal that is engulfing the international banking system. MSNBC’s Up w/Chris Hayes dedicated a lengthy section of its show Saturday to unpacking the scandal.

(Part 2)

(Part 3)


So, another international banking scandal; in this case, the manipulation of the LIBOR, a benchmark for interest rates around the world. Plenty of people profited, Barclay’s got caught (more investigations are underway), and millions of people probably ended up paying higher interest than the market would’ve otherwise dictated due to fraudulent banking practices.

These guys aren’t gonna get anything other than a fat golden parachute and a job transfer either.

(via randomactsofchaos)

40 notes Source: socialuprooting #banking#libor#libor scandal#fraud#banking scandal#fraudulent banking#bank#banks#banking cartel#gangs#global conspiracy#conspiracy#illegal