Banks accused of rate fixing seek leniency

Several banks under investigation for suspected rigging of euro interest rates are co-operating with EU anti-trust regulators in the hope of lower fines, according to two sources.

The move by the banks to voluntarily disclose more about their knowledge of possible manipulation of the euro interbank offered rate (Euribor) is effectively an admission of wrongdoing and shows growing nervousness that they, like Barclays, face a heavy penalty.

The European Commission is investigating possible manipulation of Euribor, the benchmark used when pricing bank lending in euro.