HedgeWorld – Royal Bank of Scotland is preparing to slash bonuses for its investment bankers this year to help pay fines for its role in an interest rate rigging scandal, a source familiar with the situation said.
The partly state-owned bank is expected to face a worse punishment than the $453 million paid by rival Barclays following an investigation into the alleged manipulation of the London interbank offered rate (LIBOR) and other benchmark rates, said the source, who declined to be named.
