SocGen: France’s second-biggest bank reaches deals to end probes on Libor and Libya bribes
SocGen agreed to pay undisclosed penalties to resolve US investigations that it submitted misleading numbers for the London interbank offered rate and, in a separate case, bribed Libyans to win investment deals
France’s second-biggest bank Societe Generale said Monday that it had reached agreements with US and French authorities to settle inquiries into the rigging of Libor interest rates and its dealings in Libya.
The bank did not reveal how much it paid to end the cases, but said that it had already provided for the amount in its accounts and that it would have “no impact on Societe Generale’s results”.
The bank said last month it had set aside one billion euros (US$1.2 billion) to settle both the Libor and Libya disputes.
It said the agreements reached with the French financial prosecutor’s office and the US Department of Justice would be submitted to the country’s courts for approval on June 4 and June 5 respectively.
In a statement the bank added that it would provide more details once the settlements were made public by the authorities.
Societe Generale joins a host of other banks that have reached settlements with US tax authorities for attempting to manipulate the London Interbank Offered Rate (Libor), which governs credit costs around the world.