LIBOR - Essentially the exchange for a lot of financial transactions no matter what it was being traded
https://en.wikipedia.org/wiki/Libor
https://en.wikipedia.org/wiki/Libor_scandal
Dirty dirty, this may be the crossroads of a lot of financial monkey business
The Libor scandal was a series of fraudulent actions connected to the Libor (London Interbank Offered Rate) and also the resulting investigation and reaction. The Libor is an average interest rate calculated through submissions of interest rates by major banks across the world. The scandal arose when it was discovered that banks were falsely inflating or deflating their rates so as to profit from trades, or to give the impression that they were more creditworthy than they were.[3] Libor underpins approximately $350 trillion in derivatives. It is currently administered by Intercontinental Exchange, which took over running the Libor in January 2014.
The banks are supposed to submit the actual interest rates they are paying, or would expect to pay, for borrowing from other banks. The Libor is supposed to be the total assessment of the health of the financial system because if the banks being polled feel confident about the state of things, they report a low number and if the member banks feel a low degree of confidence in the financial system, they report a higher interest rate number. In June 2012, multiple criminal settlements by Barclays Bank revealed significant fraud and collusion by member banks connected to the rate submissions, leading to the scandal.[5][6][7]
Because Libor is used in US derivatives markets, an attempt to manipulate Libor is an attempt to manipulate US derivatives markets, and thus a violation of American law. Since mortgages, student loans, financial derivatives, and other financial products often rely on Libor as a reference rate, the manipulation of submissions used to calculate those rates can have significant negative effects on consumers and financial markets worldwide.
Hmmm, interesting timing, right in the middle of Obozos time in office
Thanks for the reply, 100American. Good point about the Obama timing.
Actually every bank transfer (including Paypal) goes through the FED (3-5 banking days). It is the hub, or router, isn’t it? Doesn’t receive notice of your personal cash bank deposits or withdrawals but any transfers and any direct deposits (we are all familiar with pending transactions).