NEW YORK, March 10 A U.S. judge on Friday
dismissed Lloyds Banking Group Plc, ICAP Europe Ltd and
Tullett Prebon Plc as defendants from litigation alleging a
conspiracy among many financial services companies to manipulate
the yen Libor and Euroyen Tibor benchmark interest rates.
U.S. District Judge George Daniels in Manhattan said he
lacked personal jurisdiction over the three British companies.
Daniels cited a lack of evidence from the plaintiff
investors that the defendants' alleged wrongful conduct had a
substantial connection to or was "expressly aimed" at the United
Banks use the London interbank offered rate (Libor) and
Tokyo interbank offered rate (Tibor) to set costs of borrowing
from each other. Libor is often used to set rates on products
such as credit cards and mortgages.
Investors including the California State Teachers'
Retirement System and J. Kyle Bass' hedge fund Hayman Capital
Management LP accused banks of conspiring to rig yen Libor,
Euroyen Tibor and Euroyen Tibor futures contracts to benefit
their own trading positions from January 2006 to June 2011.
Citigroup Inc and HSBC Holdings Plc have
settled for a respective $23 million and $35 million. Several
Japanese banks are among the defendants.
(Reporting by Jonathan Stempel in New York; Editing by Leslie