US Treasury Secretary Tim Geithner
Says he was investigating whether the USA government had lost money due the Libor scandal. USA lawyers and politicians grilled Geithner over the growing scandal.
At the House financial services committee, Geithner claimed British regulations didn’t stop manipulation of Libor rates. Geithner was head of the New York Federal Reserve at the time that Barclays and other banks are accused of manipulating Libor rates. The libor rate controls more than 800 Trillion Dollars in securities and loans worldwide.
Geithner claims he was concerned about possible Libor manipulation in 2008. Geithner called out Bank of England, suggesting reforms. He alerted the Treasury, the SEC and the CFTC.
Geithner is under fire, as the Libor scandal sweeps across the United States. Baltimore, Maryland launched legal actions against Barclays, JP Morgan and others because of LIBOR manipulation.
Republicans who have profited for years off the practice quizzed Geithner about why he did not inform the US Department of Justice. Randy Neugebauer called it “puzzling” there was not a criminal investigation.