The regulators, who are probing the role of the country’s banks in the rate-rigging scandals, including London Inter Bank Offered Rate (Libor) and ISDAfix benchmark, are expected to submit their final report, as reported by media sources.
BaFin, which will continue investigating that the alleged manipulation of Libor by traders and its employees at the bank, will recommend the required systems and controls, while underlining the lender’s failings.
It is believed that the German regulator findings will enable the Deutsche Bank to settle the Libor-fixing case with the US and UK regulators. The bank has already set aside approximately €500m to cover possible penalties.
Amid the ongoing probe, Deutsche Bank said, "The bank is co-operating in the various regulatory investigations and conducting its own ongoing review into the interbank offered rates matters."
As per the current status of investigations, we can say that no current or former member of the management board had any inappropriate involvement in the interbank offered rates matters under review."
Imposing monetary penalty is beyond the jurisdiction of BaFin, and it can only order to remove the management board members. Hence, it is likely that the regulator will ask the lender to boost up its processes, controls and reporting.
