Deutsche Bank Shares Slide As Bafin Discloses Liebor Probe Of Biggest German Bank
And the hits just keep on coming. Just as we said when it first broke, the Lieborgate scandal has considerably more play here and the latest and greatest is, via Bloomberg:
- Germany’s Bafin Holding Libor Inquiry on Deutsche Bank: Reuters
The Deutsche Bank ADR has plunged by around 5% so far. Following 'news' this morning that RBC didn't 'collude' but no denial of the actual submission 'efforts' it would not surprise us to see the entire spectrum of LIBOR submitters 'probed'.
German markets regulator BaFin is conducting a special probe of Deutsche Bank (DBKGn.DE) as part of a wider investigation into possible manipulation of the London Inter Bank Offered Rate (Libor), two people familiar with the matter said on Friday.
The German regulator declined to comment specifically on whether it was probing Deutsche Bank, but said it was in looking into suspected manipulation of Libor rates by banks.
"We are making use of our entire spectrum of regulatory instruments, so far as this is necessary," a spokesman said.
Deutsche Bank shares extended losses after the news and traded 4.3 percent lower at 1523 GMT.
Results from the probe are expected to emerge in mid July, one of the sources said.
They said the investigation was a so-called special probe initiated by the regulator, which is more severe than routine probes which are initiated by a third party, for example a bank.
Deutsche Bank declined to comment but referred to its quarterly report which said the bank has received various subpoenas and requests for information from certain regulators and governmental entities in the United States and Europe, in connection with setting interbank offered rates for various currencies.
These inquiries relate to various periods between 2005 and 2011. At the time, Deutsche Bank said it is cooperating with these investigations.