Margrethe Vestager hits 3 banks with €485 million in fines

The European Commission hit three banks with fines totaling €485 million for manipulating interest rate benchmarks, bringing a close a long-running Brussels probe that has already cost the sector some €1.5 billion.

The conduct in this case related to the Euro Interbank Offered Rate, known as the EURIBOR.

JPMorgan Chase will pay €337 million, Crédit Agricole €115 million and HSBC €33 million. None of the three banks participated in the collusion, which spanned almost three years, for longer than 5 months.

Four banks settled similar charges in December 2013, paying €1.49 billion.

“A sound and competitive financial sector is essential for investment and growth,” said Margrethe Vestager, the European commissioner for competition.

The Commission concluded the banks colluded on euro interest rate derivative pricing elements, and exchanged sensitive information, in breach of EU antitrust rules. The three banks had fiercely resisted the charges, arguing the conduct did not amount to a cartel in breach of EU competition laws.