Royal Bank of Scotland Group (RBS) has agreed to pay more than 44 million U.S. dollars to settle charges by the U.S. Department of Justice that its U.S. traders defrauded bond prices, according to an agreement announced Thursday.
The RBS will pay a 35-million penalty and at least 9 million more to reimburse customers, including Barclays, Citigroup, Goldman Sachs and Morgan Stanley.
"For years, RBS fostered a culture of securities fraud," said U.S. Attorney Deirdre Daly in a statement. Prosecutors said that from 2008 to 2013, the RBS cheated customers by lying about bond prices to raise its own profit.
Daly said that the RBS cooperated in the investigation, which was a part of a five-year crackdown by federal regulators and prosecutors into deceptive bond trading in the aftermath of the 2007 recession.
"RBS has zero tolerance for market misconduct," the bank said in a statement." We are pleased to be able to resolve this issue as we continue to build a simpler, stronger bank that is fully focused on serving our customers well."
The RBS will pay a 35-million penalty and at least 9 million more to reimburse customers, including Barclays, Citigroup, Goldman Sachs and Morgan Stanley.
"For years, RBS fostered a culture of securities fraud," said U.S. Attorney Deirdre Daly in a statement. Prosecutors said that from 2008 to 2013, the RBS cheated customers by lying about bond prices to raise its own profit.
Daly said that the RBS cooperated in the investigation, which was a part of a five-year crackdown by federal regulators and prosecutors into deceptive bond trading in the aftermath of the 2007 recession.
"RBS has zero tolerance for market misconduct," the bank said in a statement." We are pleased to be able to resolve this issue as we continue to build a simpler, stronger bank that is fully focused on serving our customers well."
Latest comments