Convicted Libor trader: Finance scandals likely to happen "again and again"

Courtroom Gavel

One of the former Barclays traders convicted of Libor-rigging last year has warned that unclear rules mean scandals will happen "again and again".

Speaking to the Sunday Telegraph, Alex Pabon admitted that he and his colleagues "didn't understand what we were doing was wrong."

He added that he expected more criminal trials to take place in future due to lack of awareness among traders regarding rules and regulations.

"Something will happen in 10 years, maybe a hedge fund tables a massive bet and loses a fortune, suddenly they're under scrutiny for something that's been going on forever," he said. "It will just keep happening again and again."

Read more: Mark Carney and the Bank of England want a "less Libor-centric world"

He said that he did not believe his own conviction or those of his colleagues was likely to deter others from similar offences. Instead he called for greater clarity in financial regulation.

"There is too much ambiguity on what the rules are, and when new rules are applied retroactively, as in the case of Libor, I think that you will see traders on the wrong side."

Pabon was jailed last year after being found guilty of conspiracy to defraud, but was released in March and is now seeking an appeal to overturn his conviction.

Read more: Libor: How a little known benchmark rate rocked the City of London

Full story: Convicted Libor trader: Finance scandals likely to happen "again and again": City A.M.

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