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Multinational: Class action filed against banks for gold fixing

By  |  March 5, 2014

A class action lawsuit has been filed in New York against some of the world’s largest banks over allegations the lenders manipulated the benchmark gold price, say reports.

New York resident Kevin Maher has sued Societe Generale, Deutsche Bank, Barclays, Bank of Nova Scotia and HSBC on claims the banks conspired to manipulate the benchmark. The banks are responsible for setting gold prices through a conference call that occurs twice daily.

The lawsuit follows recent revelations in a study that found possible collusion in the gold benchmark rate. Reports of the study’s findings were released earlier this week.

The suit is reportedly brought in behalf of investors who traded or held gold derivatives and that were based on the gold benchmark price since 2004. It was not disclosed what damages the lawsuit is seeking from the lenders.

Full Content: Reuters

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