Libor rigging scandal: FCA bans former Rabobank trader Lee Stewart

The Financial Conduct Authority has banned former Rabobank trader Lee Stewart from working in London's City because of his role in the Libor rigging scandal.

In March, Stewart, who was a derivative trader at the Dutch banks' London office, pleaded guilty in a Manhattan court to contribution in manipulating the benchmark London interbank interest rate, or Libor.

"Mr Stewart was an experienced trader at Rabobank who, through his guilty plea, has admitted to participating in a criminal conspiracy to manipulate Libor over a prolonged period of time," the FCA stated. "His behaviour was inexcusable and very serious. This ban further reinforces our expectation that individuals and firms take responsibility for ensuring market integrity and reminds them of the consequences if they fall short of our standards."

IBTimes UK reached out to Rabobank for a comment, but the bank said it will not comment on the decision by the FCA.

The news comes two days after the jury retired to consider Tom Hayes's verdict in the first UK court case regarding the Libor scandal on 28 July.

The Libor rigging case, in which multiple traders manipulated the rate in order to make it more favourable to their banks, was uncovered in 2008 and since then the FCA has imposed £653.6mworth of fines.

Lee worked at Rabobank's trading desk in London from 1993 to 2009 and pleaded guilty to misconduct on 23 March in the US, where he was taken to court by the US Department of Justice following an extensive investigation by the DoJ in cooperation with the UK's Serious Fraud Office and the Dutch Central Bank.