Fresh Appeals for Convicted Bankers in Interest Rate Rigging Scandal

Five former bankers, previously convicted for manipulating interest rates, have been granted a new opportunity to appeal their convictions. This decision follows a significant ruling by the UK Supreme Court that overturned the conviction of trader Tom Hayes, highlighting legal errors in the original trials.

Rate-rigging convictions of five bankers referred to UK appeals court

The convictions stem from the manipulation of the euro interbank offered rate (Euribor) and the London interbank offered rate (Libor), which impacted financial products worth hundreds of trillions of pounds and euros globally. Between 2016 and 2019, nine bankers, including Hayes, were found guilty of conspiracy to defraud. However, the Supreme Court's ruling in July 2025 identified critical flaws in Hayes' trial, including misleading jury instructions, which prompted the Criminal Cases Review Commission (CCRC) to reassess other related convictions.

Rate-rigging convictions of five bankers referred to UK appeals court

The five bankers whose cases have been referred back to the Court of Appeal are Alex Pabon, Jay Vijay Merchant, Jonathan Mathew, Philippe Moryoussef, and Colin Bermingham. Their sentences ranged from two to eight years, with Pabon, Merchant, and Mathew convicted in 2016, while Moryoussef and Bermingham were convicted in 2018 and 2019, respectively.

Rate-rigging convictions of five bankers referred to UK appeals court

The CCRC stated that after reviewing submissions from the five bankers, it found no distinguishing factors between their cases and those of Hayes and Carlo Palombo, whose conviction was also quashed. The CCRC concluded that the same jury misdirection and legal errors undermined the safety of all convictions involved.

Rate-rigging convictions of five bankers referred to UK appeals court

While the CCRC's referral offers a chance for the bankers to clear their names, the implications of the original convictions have raised concerns about accountability in the financial sector. Critics argue that the systemic issues surrounding the Libor scandal remain unaddressed, with calls for greater scrutiny of the banking industry to prevent similar misconduct in the future.

Rate-rigging convictions of five bankers referred to UK appeals court

The referred cases will now proceed to the Court of Appeal, where judges will determine whether the convictions are indeed unsafe. This process could lead to further legal ramifications for the banking institutions involved, particularly as Tom Hayes has initiated a lawsuit against Swiss bank UBS for $400 million, alleging that he was unfairly scapegoated for the scandal.

Rate-rigging convictions of five bankers referred to UK appeals court

• “After analysing the submissions in all five cases … the CCRC has determined there is no distinguishing factor between these cases and the cases of Mr Hayes and Mr Palombo, and the jury misdirection and legal errors have undermined the safety of all the convictions,” — Criminal Cases Review Commission

Rate-rigging convictions of five bankers referred to UK appeals court

• “hand-picked scapegoat” — Tom Hayes, former banker

Rate-rigging convictions of five bankers referred to UK appeals court