Requests by Deutsche Bank, the Royal Bank of Scotland (RBS), and UBS to allow them to continue managing retirement accounts for clients, despite pleading guilty in the Libor scandal, are expected to be denied by the US Labor Department due to the banks' failure to demonstrate that the exemptions would actually be in the interest of the the clients. The banks have been accused of manipulating benchmark rates used as a proxy for borrowing costs across global financial markets.
Requests by Deutsche Bank, the Royal Bank of Scotland (RBS), and UBS to allow them to continue managing retirement accounts for clients, despite pleading guilty in the Libor scandal, are expected to be denied by the US Labor Department due to the banks' failure to demonstrate that the exemptions would actually be in the interest of the the clients. As we noted a few months ago, there has been increased pressure on US regulators to scrutinise more carefully regulatory exemptions that are sought by big banks that break the law.