Show Entire Article
The documents also called on the British Bankers' Association to conduct a review, including input from international government agencies, to ensure the credibility of the rate.
"I don't see that a group of junior bankers in London can decide this without a global debate," Mr. Tucker wrote in an e-mail in May 2008.
The call for a review into Libor in 2008 came after Mr. King and Mr. Geithner had talked about potential problems with the rate during a meeting in Basel, Switzerland, in early May 2008.
This discussion was followed by a flurry of e-mails a month later in which Mr. Geithner, who is now the Treasury secretary, recommended changes to the rate, which is used as a benchmark for more than $360 trillion financial products worldwide.
The suggestions included ''strengthen governance and establish a credible reporting procedure'' and ''eliminate incentive to misreport,'' according to documents released by the New York Fed.
Mr. King told Mr. Geithner that he supported the suggestions. Yet the New York Fed did not make any allegations of wrongful behavior connected to Libor, according to documents released on Friday. Mr. King told a British parliamentary committee on Tuesday that Mr. Geithner's suggestions did not represent a warning about the potential manipulation of Libor.
Page 2 of 5 | Prev Page | Next Page
Show Entire Article
BCS News & Analysis
DATA IS REAL-TIME EXCEPT NOTED WITH *
* DATA DELAYED AT LEAST 15 MINUTES