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BoE warned about Libor in 2008

The Bank of England Governor Sir Mervyn King was warned about the concerns about the Libor interest rate by the US Federal Reserve in 2008, according to documents released. A parliamentary inquiry into the scandal has been launched.

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US called on BoE to reform Libor rate system in 2008

The Federal Reserve Bank of New York contacted Bank of England Governor, Sir Mervyn King, in 2008 to make recommendations about Libor rates and increasing its accuracy, according to an e-mail dated 1 June 2008.

Email from Timothy Geithner to the Bank of England in June 2008 Credit: Federal Reserve Bank of New York

It was sent to Sir Mervyn and his deputy Paul Tucker by the then president of the Federal Reserve Timothy Geithner, who is now the US treasury secretary.

Mr Geithner called for six changes he believed would improve the integrity of Libor.

Timothy Geithner called for six changes he said would improve the integrity of Libor Credit: Federal Reserve Bank of New York

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