Bloomberg News

Diamond Says he Has ‘Full Support’ After Record Libor Fine

July 02, 2012

Diamond Says he Has ‘Full Support’ After Record Libor Fine

Barclays Plc Chief Executive Officer Robert Diamond. Marcus Agius today resigned as chairman in a bid to shield Diamond after the bank was fined a record 290 million pounds ($455 million) for rigging interest rates. Photographer: Jerome Favre/Bloomberg

Barclays Plc (BARC) Chief Executive Officer Robert Diamond said he has the full support of the bank’s non- executive directors and pledged to stay and implement the recommendations of a review into its Libor submissions.

“No one is more sorry, disappointed and angry about these events than I am,” Diamond wrote in a letter to employees today. “We all know that these events are not representative of our culture, and it is my responsibility to get to the bottom of that and resolve it.”

Diamond said the bank will get to the bottom of what happened, pledged to bolster the controls surrounding the firm’s submissions to the London interbank offered rate and take “appropriate action” against those involved with rigging the benchmark interest rate.

“Of course, given the nature of the authorities involved, the investigations were accompanied by criminal inquiries, and some of those are still underway,” Diamond said. “We have the full range of tools at our disposal, from clawing back compensation to asking people to leave the bank.”

Marcus Agius today resigned as chairman in a bid to shield Diamond after the bank was fined a record 290 million pounds ($455 million) for rigging interest rates. Michael Rake, who was today named deputy chairman, will oversee an inquiry into the bank’s business practices, the London-based lender said.

To contact the reporter on this story: Howard Mustoe in London at hmustoe@bloomberg.net

To contact the editor responsible for this story: Edward Evans at eevans3@bloomberg.net


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