Manipulation of Libor: the conviction of an ex-trader of UBS canceled in London

The highest British jurisdiction “whitens” Tom Hayes (photo on the left). Meanwhile, passed by UBS and Citigroup, and Carlo Palombo (right), passed by Barclays, judging that the trial was “inequitable”. In addition,

The British Supreme Court on Wednesday canceled the conviction of the former traders Tom Hayes. Nevertheless, passed by UBS and Citigroup, and Carlo Palombo, passed by Barclays, who had received prison terms for manipulating the interbank rates Libor and Euribor, judging that the trial was “inequitable”.

The highest British jurisdiction recognizes that there were many elements of evidence “against Mr. Consequently, Hayes but points out” the judge’s directives “who did not allow their lawyers to defend themselves properly before the. Consequently, jury which” made the trial inequitable “.

In manipulation libor: conviction ex-trader ubs the case of Mr. Palombo “the directives given to the jury are not as criticized” but included several “errors. ambiguities” which make his conviction “is also unjustified and must be canceled”, according to a summary of the decision sent to the press by the Supreme Court.

The British Agency for Combating Financial Crime (SFO). which led the prosecution, decided on Wednesday to stop the procedure, having “determined that it would not be in the public interest that we asked for a new trial” at this stage, according to a separate statement.

Mr. Hayes. former trader of the UBS and Citigroup banks, was found guilty by a jury of the Southwark court in August 2015 and initially sentenced to 14 years in prison. He had seen his sentence reduced at 11 on appeal and had benefited from an early release in 2021.

The SFO accused him of having orchestrated from September manipulation libor: conviction ex-trader ubs 2006 to September 2010 a system of collusion with traders of the two Swiss. American banks, but also with those of other establishments, in order to influence the level of Libor to their advantage.

To defend himself. the ex-coutier had explained at the time that the manipulation of the rate was “common” in the financial industry. His lawyers also argued that he was suffering from Asperger’s syndrome, an autistic disorder.

Mr. Hayes’ file was examined alongside that of a former Barclays trader. Carlo Palombo, sentenced in 2019 to 4 years in prison for manipulation of the Euribor, the equivalent in Euro of Libor.

The British Criminal Criminal Affairs Revision Commission had again brought the case to the Court of Appeal after a. decision of the American justice in 2022 canceling similar convictions targeting other traders. But the court of appeal had maintained the convictions last year.

Libor. “London Interbank Offered manipulation libor: conviction ex-trader ubs Rate”, has long been a reference interbank rate in the world of finance, affecting a huge mass of financial products. Controversial after many scandals, he was definitively abolished last October.