In response to a Congressional request, the New York Federal Reserve on Friday released documents showing it had been made aware as early as 2007 of concerns over possible Libor manipulation.
From the New York Times:
As part of its defense, Barclays has said that it informed regulators in the Britain and the United States about its low Libor submissions.
The documents on Friday indicate that Barclays had been notifying regulators about its concerns regarding the accuracy of the interest rate since 2007. In August of that year, a Barclays employee e-mailed a New York Fed official, saying “Draw your own conclusions about why people are going for unrealistically low” rates.
By the time of the April 2008 conversation, the British firm had been attempting to manipulate the interest rate for three years. And the practice persisted at Barclays for about a year after the briefing with the New York Fed.
