ICAP Agrees to Pay $87 Million to Regulators in Libor Probe

LONDON--U.S. and U.K regulators on Wednesday fined interdealer broker ICAP PLC (IAP.LN) a total of $87 million to resolve their investigations into the brokerage firm's alleged role in the manipulation of benchmark interest rates, and said the U.S. Department of Justice hasn't taken any action against ICAP Europe, or the Group to date.

ICAP agreed to pay the U.K.'s Financial Conduct Authority GBP14 million ($22.42 million) and the U.S. Commodity Futures Trading Commission $65 million, making it the fourth major financial institution to settle allegations that its employees were involved in trying to rig the London interbank offered rate, or Libor, and other benchmarks that underpin interest rates on trillions of dollars of loans and financial contracts. Barclays PLC (BCS, BARC.LN), UBS AG (UBSN.VX, UBS) and Royal Bank of Scotland Group PLC (RBS.LN, RBS) have agreed to pay a total of roughly $2.5 billion to settle such charges since last summer.

Shares at 1235 GMT down 1 pence, or 0.18%, at 395 pence valuing the company at GBP2.56 billion.

-Write to David Enrich at [e-mail], David Barrett at [e-mail] and Jean Eaglesham at [e-mail].

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