Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Deutsche Bank to settle gold price fixing conspiracy suit, (Apr 15, 2016)
Law Firms Mentioned:Allen & Overy | Berger & Montague, P.C. | Cadwalader, Wickersham & Taft, LLP | King & Spalding LLP | Quinn Emanuel Urquhart & Sullivan LLP
Organizations Mentioned:Allen & Overy, LLP | Bank of Nova Scotia | Barclays Bank PLC | Berger & Montague, PC | Cadwalader Wickersham & Taft, LLP | Deutsche Bank AG | Deutsche Bank, AG | HSBC Holdings PLC | King & Spalding, LLP | Quinn Emanuel Urquart & Sullivan, LLP | Societe Generale | Sullivan & Cromwell, LLP
By Linda O’Brien, J.D., LL.M.
In a class action by investors against foreign commercial banks for colluding to manipulate the London Gold Market Fixing Ltd. price-setting process for gold for their own profit, the plaintiffs have agreed to settle all claims against defendant Deutsche Bank, according to a letter filed by the parties yesterday in the federal district court in New York City (In re Commodity Exchange, Inc., Gold Futures and Options Trading Litigation, Case No. 14-md-2548).
Bank of Nova Scotia, Barclays Bank PLC, Deutsche Bank, AG, HSBC Holdings PLC, and Societe Generale N.A. are foreign commercial financial services companies that are members of the London Gold Market Fixing Ltd. (“London Gold Fix”). The financial institutions meet each trading day in a twice-daily price-setting process for a troy ounce of physical gold.
In April 2014, investor Martin Fleisher, and other investors who had traded physical gold and gold derivatives on an exchange in the United States, filed suit against the financial institutions, alleging that they exploited the Gold Fix by conspiring to manipulate the prices of gold and gold derivatives by exchanging trading information before publication of the Gold Fix to the wider market.
According to the letter, Deutsche Bank has agreed to pay an undisclosed amount into a settlement fund and to cooperate in pursuing claims against the remaining defendants. The parties are continuing to negotiate a settlement agreement. Upon execution, the plaintiffs will file a motion for preliminary approval of that agreement.
Attorneys: Daniel L. Brockett (Quinn Emanuel Urquhart & Sullivan LLP) and Merrill G. Davidoff (Berger & Montague, P.C.) for the plaintiffs. Kenneth M. Raisler (Sullivan & Cromwell, LLP) for Bank of Nova Scotia. Michael Svetkey Feldberg (Allen & Overy) for Barclays Bank PLC. Amy Wilkie Ray (Cadwalader, Wickersham & Taft, LLP) and Peter Joseph Isajiw (King & Spalding LLP) for Duetsche Bank, AG.
Companies: Bank of Nova Scotia; Barclays Bank PLC; Deutsche Bank, AG
News: Antitrust NewYorkNews