|  | | 2012 News and Press Releases | | |
HEADLINE NEWS:
Barclays Chief Faces Political Firestorm
Mark Scott
The New York Times DealBook. June 28, 2012
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EXCERPT: The Barclays chief executive, Robert E. Diamond Jr., faced a political backlash on Thursday, a day after the British bank agreed to pay more than $450 million to settle accusations that it had attempted to manipulate key interest rates. Several current and former politicians took aim at Barclays over the matter on Thursday, with some calling for him to resign. The cacophony of criticism comes as Mr. Diamond deals with shareholder opposition about his pay. "I think the whole management team have got some serious questions to answer," said Prime Minister David Cameron, speaking at an event in Northern England. "Who was responsible? Who was going to take responsibility? How are they being held accountable?" The bank's shares fell 10.6 percent in afternoon trading in London on Thursday. Barclays is under scrutiny for attempting to influence key benchmarks, including the London interbank offered rate, or Libor, to bolster its own bottom line. Such rates are used to determine the cost for a range of financial products, including mortgages, credit cards and student loans. |
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