A PYMNTS Company

US: Bank of America, RBS sued over euro bond cartel

By  |  March 5, 2019

US investors have filed a suit against Bank of America and Royal Bank of Scotland for their alleged roles in conspiring, along with six other banks, to fix prices in the US $9.4T trillion European government bond market, Reuters reports.

The proposed class-action complaint accusing the banks of violating federal antitrust law was filed on Monday night, March 4, in US District Court in New Haven, Connecticut.

It followed a January 31 announcement by the European Union’s antitrust authority accusing the eight banks of being part of a cartel to distort bond prices from 2007 to 2012.

In a “Statement of Objections,” the European Commission announced said it believed bond traders may have illegally shared commercially sensitive information and coordinated trading strategies, mainly through online chatrooms.

Full Content: Reuters

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.