Jul 3 2012
On Tuesday 3 July, Diamond resigned with immediate effect in the wake of the interest rate rigging scandal at the London-based lender.
His resignation came only one day after Marcus Agius, the chairman of Barclays for the past five years, stepped down from his post over the bank’s “misconduct” after revelations were made about the lender’s manipulation of the London interbank lending rate and its equivalent in Europe.
Barclays was fined £290 million by UK and US regulators for manipulating the Libor, the rate at which banks lend to each other.
Diamond is to appear before the Treasury Select Committee on Wednesday. He has already revealed the details of a conversation with Paul Tucker, a deputy governor of the Bank of England, which ultimately led to some staff attempting to fix the so-called Libor.
Tucker is reported as saying senior figures in Whitehall wanted to know why Barclays’ Libor submissions were so much higher than other banks’, reported The Guardian.
Meanwhile, British Chancellor George Osborne has maintained that Diamond made the “right decision” for the bank and for the country.