BLOOMBERG: Freddie Mac Sues Bank of America, UBS, JP Morgan Alleging Libor RiggingSubmitted by emalvini on Wed, 03/20/2013 - 15:38
BLOOMBERG: Freddie Mac Sues Bank of America, UBS, JP Morgan Alleging Libor Rigging
By Tom Schoenberg and Andrew Zajac
March 20, 2013
Freddie Mac (FMCC) sued Bank of America Corp. (BAC), UBS AG (UBSN), JPMorgan Chase & Co. (JPM) and a dozen other banks over alleged manipulation of the London interbank offered rate, saying the mortgage financier suffered substantial losses as a result of the companies’ conduct.
Government-owned Freddie Mac accuses the banks of acting collectively to hold down the U.S. dollar Libor to “hide their institutions’ financial problems and boost their profits,” according to a complaint filed in federal court in Alexandria, Virginia.