Lawsuit claims 10 big banks rigged market for 'odd-lot' US corporate bonds

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NEW YORK: Ten of the world's largest banks, including JPMorgan Chase and Bank of America , have been sued for allegedly conspiring over nearly 14 ...

NEW YORK: Ten of the world's largest banks, including JPMorgan Chase and Bank of America , have been sued for allegedly conspiring over nearly 14 years to rig prices in the US$9.6 trillion US corporate bond market, costing ordinary investors billions of dollars.

According to the 81-page complaint, the banks leveraged their power from handling more than two-thirds of US corporate bond underwriting to quietly inflate spreads between the prices where they would buy and sell odd-lot bonds.

 

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