2nd Circ. Revives Libor Antitrust Case Against 16 Banks
Law360, New York (May 23, 2016, 11:49 AM ET) — A federal appellate panel on Monday revived an antitrust lawsuit against 16 big banks, including Citigroup, JPMorgan Chase and Bank of America, alleging that they rigged the London Interbank Offered Rate.
A three-judge Second Circuit panel ruled that Manhattan U.S. District Judge Naomi Reice Buchwald was wrong when she dismissed the complaint against the banks on the grounds that the plaintiffs had failed to allege injury under antitrust law. The panel instead found that the proceedings should be reopened because antitrust law does not require that plaintiffs show injury in order to effectively allege a conspiracy among market participants.
“Since the district court did not reach the second component of antitrust standing — a finding that appellants are efficient enforcers of the antitrust laws — we remand for further proceedings on the question of antitrust standing,” the opinion said.