Ex-Deutsche Bank traders convicted in US for role in Libor scandal

Two former Deutsche Bank traders have been convicted in the United States for their role in manipulating a key global benchmark interest rate, the US Justice Deparment said Wednesday.

The US District Court for the Southern District of New York convicted former Deutsche Bank supervisor Matthew Connolly, 53, of one count of conspiracy and two counts of wire fraud and former derivatives trader Gavin Campbell Black, 48, of one count of conspiracy and one count of wire fraud. A sentencing date has not been set.

"Matthew Connolly and Gavin Black undermined the integrity of our financial markets by manipulating LIBOR, which is widely considered to be the most important number in the financial world because of its impact on trillions of dollars in financial products," Assistant Attorney General Benczkowski said in a statement.

The Libor (London Interbank Offered Rate) benchmark interest rate is used for loans, mortgages and other financial products traded internationally.

"Today’s conviction should serve as a reminder of our commitment to hold individuals and institutions accountable for their involvement in complex fraud schemes," FBI special agent Matthew J DeSarno said.

"The FBI will continue to work with our global partners in bringing those who undermine our financial markets to justice."

Deutsche Bank has been accused of colluding with competitors to manipulate the US dollar on Libor and other benchmark interest rates.

Banks around the world have been forced to pay billions of dollars in cases relating to the Libor-rigging scandal.