Florida governments to get $2.6 million in LIBOR-fixing scandal

Palm Beach County’s banks continue to grow more financially stable. (Getty Images)

(Getty Images)

Florida governmental agencies will collect $2.6 million as part of a LIBOR-rigging settlement with Barclays Bank, Florida Attorney General Pam Bondi said Monday.

Barclays Bank PLC and Barclays Capital Inc. agreed to pay $100 million to 44 states after they were caught illegally fixing an index tied to the London Interbank Offered Rate.

Without delving too far into the arcana, here’s what Bondi says happened: From August 2007 through January 2009, Barclays systematically submitted bogus information about its borrowing costs. That led to an artificial lowering of the LIBOR index, causing many of the financial instruments based on the LIBOR index and owned by Florida governmental agencies to lose value.

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