Ex-Rabobank derivatives boss pleads guilty to Libor rigging

A fourth Rabobank trader has pleaded guilty in a US court this week for his role in Libor rate manipulation – sentencing expected in November.

Former head of money markets and derivatives trading at Rabobank, Paul Thomson, has pleaded guilty in a US court to Libor rate manipulation.

Thompson – based in the Northeast Asia region – made the plea in court this week, after being charged of conspiracy to commit wire fraud and bank fraud, following his role in a scheme to manipulate Libor.

Assistant attorney general Leslie Caldwell slammed Thompson’s scheme “to manipulate this important benchmark to advantage his bank’s own trading positions.”

Brent Snyder, deputy assistant attorney general, added that Thompson had “conspired to manipulate Libor, putting his interests above those who depend on Libor as a reliable, impartial reference rate.

Thompson is the fourth Rabobank trader to plead guilty for taking part in Libor manipulation.

His sentencing is expected to take place on 5 November this year.

Assistant director in charge Paul Abbate of the FBI’s Washington field office, concluded that the investigation represents the on-going effort of the FBI “to identify and stop those who commit complex financial crimes effecting the United States, no matter where they operate or reside.”

UK, US and Dutch regulators fined Rabobank a total of £660 million in October 2013 for Libor rigging.