In the midst of recent suits charging Barclays with LIBOR manipulation, the U.S. is now threatening to fine the bank for about $470 million, alleging Barclays manipulate electricity markets in California. The fine would exceed the money paid by Barclays in the LIBOR scandal. According to the penalty, which would be issued by the Federal Energy Regulatory Commission (FERC), the bank has 30 days to argue against the claims of price-fixing in the electricity sector in a “loss-leader” scheme, where electricity prices were fixed to show a loss so as to make profits in related position in the swaps market. If a suit is filed, the case could set a precedent, determining whether the practice is legal or not. The FERC earned the power to fight price-manipulation in 2005.
Full Content: Reuters
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
ConocoPhillips Acquires Marathon Oil for $22.5 Billion in Major Energy Sector Consolidation
May 29, 2024 by
CPI
Judge Denies Amazon’s Bid to Dismiss FTC Lawsuit Over Prime Membership Practices
May 29, 2024 by
CPI
Germany and France Advocate for Major EU Competition Reform
May 29, 2024 by
CPI
Equifax Accused of Monopolizing Employment Verification Market in New Suit
May 29, 2024 by
CPI
Car Battery Makers to Challenge EU Cartel Charges in Brussels
May 29, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Merger Guidelines Retrospective
May 21, 2024 by
CPI
Mergers of Complements
May 21, 2024 by
CPI
Personality Traits, Private Equity, and Merger Analysis
May 21, 2024 by
CPI
The 2023 Merger Guidelines: Lessons in the Importance of Incipiency, Modern Economics, and Monopsony
May 21, 2024 by
CPI
The 2023 Merger Guidelines: Sharpening Merger Analysis
May 21, 2024 by
CPI