U.S., UK regulators might settle Deutsche Bank Libor case this year

U.S. and British regulators are in a plan to settle the Deutsche Bank AG (DBKGn.DE) Libor case in the next few months as they hope to extract major penalties from the bank for alleged manipulation of the benchmark interest rate, The Wall Street Journal reported, citing sources.

However, the size and timing of the settlement is still unclear and is unlikely to conclude until early 2015, the newspaper said, citing a person briefed on the talks.

Regulators are hoping to convince the bank to pay well into the hundreds of millions of dollars, the newspaper said, citing a source.

Deutsche Bank said it is cooperating in the various regulatory investigations and conducting its own ongoing review into the matters, the newspaper said.

The bank is being investigated by the U.S. Commodity FuturesTrading Commission and Justice Department and the UK Financial Conduct Authority, The Wall Street Journal reported.

Deutsche Bank, which paid more than 5 billion euros ($6.3 billion) over the past two years for various settlements, expects to pay 3 billion more this year.

The bank has been is grappling with the Libor case for over a year now.

Banks like BNP Paribas SA (BNPP.PA) and Credit Suisse Group AG (CSGN.VX) paid heavy fines earlier this year, for violating the U.S. sanctions.

Deutsche Bank could not be immediately reached for comment outside regular working hours.

Tags

U.S., U.K., Deutsche Bank AG, Libor, U.S. Commodity FuturesTrading Commission

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