A former Rabobank Groep trader arrested last year in Australia will plead guilty to U.S. charges that he schemed to manipulate benchmark interest rates, his lawyer said.
Bloomberg News reports that Paul Thompson, who is among seven Rabobank traders indicted in New York, appeared on Wednesday before U.S. District Judge Jed Rakoff in Manhattan, where he pleaded not guilty. His lawyer, Harry Sandick, told the judge that he would admit his guilt at another proceeding on Thursday. Thompson was released on $500,000 bond, to be secured by $100,000 in cash.
Thompson was arrested in Perth in October after the U.S. sought his extradition to face prosecution for wire and bank fraud and conspiracy. He’s remained free pending Wednesday’s arraignment.
The Justice Department has been criticized for negotiating billion-dollar settlements with banks for misconduct without charging individuals, but in the years-long investigation into the rigging of the London interbank offered rate, U.S. prosecutors have charged more than a dozen bankers while securing several convictions.
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