Barclays fund said to gain from rate fixing, Bob Diamond to testify at trial

Barclays Canary Wharf

Barclays ran a proprietary trading fund that profited from the bank’s attempts to manipulate benchmark interest rates, the plaintiff in the U.K.’s first lawsuit linked to Libor misconduct said.

Bloomberg News reports that Guardian Care Homes, which is suing to rescind an interest-rate swap linked to the London interbank offered rate, made the allegation at a hearing Friday, citing documents from a regulatory probe in Singapore.

Barclays’s Ricardo Master Fund was 'a direct beneficiary of the manipulation', Guardian said in court documents. It is seeking more information about the fund, which it described as a 'global interest-rate portfolio' operated from the Cayman Islands.

In the meantime, Reuters reports that ex-Barclays boss Bob Diamond and other past executives at the British bank are set to be called as witnesses next year in the court case.

Guardian said it wanted to call as witnesses former Chief Executive Diamond, former Finance Director Chris Lucas, ex-Chief Operating Officer Jerry del Missier, ex-investment bank boss Rich Ricci and other senior executives who it said appeared to be relevant to Libor.

Barclays Fund Gained on Libor Fixing, Lawsuit Says

Ex-Barclays boss Diamond set be called in court case

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