Royal Bank of Scotland’s outgoing investment banking head John Hourican has warned colleagues not to waste 'my death' after ordering them to get angry over the Libor scandal that led to his resignation.
The Daily Telegraph reports that Hourican was one of five RBS executives who gave evidence on Monday to the UK Commission on Banking Standards and claimed a 'cultural shudder' had been felt in the wake of the Libor scandal at a bank that had only narrowly escaped 'cardiac arrest' after the financial crisis.
'It just didn’t occur to anyone that it could be fiddled', former investment banking boss Johnny Cameron told lawmakers. 'You can’t impose standards on people who don’t wish to be moral'.
Bloomberg reports that RBS was fined $612m last week for rigging the London interbank offered rate and similar benchmark interest rates. More than a dozen traders made hundreds of attempts to manipulate yen and Swiss franc Libor between mid-2006 and 2010 to benefit their trading positions, sometimes colluding with other firms, the U.S. Commodity Futures Trading Commission said.
That behavior continued even after the CFTC started its probe.