Freddie Mac Sues Dozen Banks Including JPMorgan for Libor Losses

Nationalized Freddie Mac is reportedly suing 12 of its its bankster masters including JP Morgan, BOA, RBS, and Citi among others over $3 billion in losses tied to manipulation of LIBOR rates from 2007-2010.

The Freddie Mac suit appears to confirm what we suspected in 2012 that JP Morgan and Bank of America were simply fabricating their borrowing rates.  Why then, we might ask, has neither Bank of America nor JP Morgan Chase been charged by regulators, when banks with much less blatantly false LIBOR rates have been fined over half a billion dollars???

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As RT reports, Freddie Mac claims it lost $3 billion in artificially low interest rates thanks to LIEBORGATE:

US mortgage company Freddie Mac claims it suffered more than $3 billion in losses between 2007-2010 due to bank manipulation of Libor, a benchmark borrowing rate run by the British Banking Association.

Freddie Mac is suing more than a dozen banks, including Bank of America, JPMorgan Chase, UBS, CitiGroup, Royal Bank of Scotland, and Credit Suisse for setting the Libor low against the dollar to “both hide their institutions’ financial problems and to boost their profits,” according to the complaint. The complaint was filed March 14 in US District Court in the state of Virginia.

“Defendants’ fraudulent and collusive conduct caused USD LIBOR to be published at rates that were false, dishonest, and artificially low,” Richard Leveridge, a Freddie Mac lawyer wrote in the complaint, which went public on Tuesday.

The banks have not released any official comments regarding the lawsuit.

Back when the LIBOR scandal broke in 2012, we reported that JP Morgan and BOA appeared to have much more egregious offenders than Barclays and wondered whether they were the next banks to be implicated in the rate fixing scandal:

The Freddie Mac suit appears to confirm what we suspected in 2012.  Why then, we might ask, has neither Bank of America nor JP Morgan Chase been charged by regulators, when banks with much less blatantly false LIBOR rates have been fined over half a billion dollars???

 

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