A financial scandal that erupted in June prompted Bob Diamond, chief executive of Barclays Bank, to announce his resignation. This regulation came into force on July 3, which was indicated in a message from Barclays.
The scandal began to develop after the results of an investigation of the manipulations carried out by Barclays and other banks in setting LIBOR rates were announced.
There is information that the bank's COO Jerry del Missir, who is Diamond's "right hand", will leave Barclays.
Chairman of the Board of Directors Mark Ageus also announced his resignation for similar reasons. Ageus will serve as chairman until a suitable candidate is found.
In the 2008 investigation into the LIBOR fraud, major banks such as Lloyds Banking Group, UBS, Royal Bank of Scotland, Citigroup, HSBC and Deutsche Bank figured, with Barclays being the first to admit responsibility. The investigation found out that the manipulations were carried out several times in the period from 2005 to 2009. Therefore, Barclays may not be the only organization to be fined. Regulators in Europe, Asia and the United States are checking large banks that have come under suspicion of manipulating interbank lending rates. Regulators have focused on financial giants such as Deutsche Bank, JP Morgan and Citigroup. According to the department, such actions could significantly affect the cost of loans for millions of bank clients.
LIBOR is a recognized indicator of financial resources, which is based on the rate in the interbank market governing mutual lending of banks.
Barclays Bank has a history of over 300 years. The organization exists in more than 50 countries of the world, and the number of employees is about 145 thousand people. A net loss of £ 337 million in the first quarter of 2012 is significantly less than a net profit of £ 1.24 million a year earlier.
