–Tucker Says No Government Minister Leaned On Him Over Libor
–Says Key Line In Diamond Memo Gives ‘Wrong Impression”
LONDON (MNI) – Bank of England Deputy Governor Paul Tucker said
today that no note had been taken of a key and controversial
conversation with former Barclays Chief Executive Bob Diamond in October
2008.
Tucker told the Treasury Select Committee that the BOE and the
banking industry had been living through a crisis situation at the time
and that this was the reason why no record of the conversation with the
Barclays’ chief was made.
When pressed on a key line in the Diamond memo which seems to show
Tucker concerned about high Libor submissions from Barclays, the
BOE official said that this line in the memo gave the “wrong
impression”.
Tucker said that his main concern at the time was that the
management of Barclays should be properly overseeing the day-to-day
operations of its money market desk.
The official also rejected any idea that government ministers or
officials had in any way “leaned on” him to get Barclays to
“lowball” their Libor submissions.
–London Bureau; Tel: +442078627492; email: dthomas@marketnews.com
[TOPICS: M$$BE$]
