By Jonathan Davies
Tom Hayes, the first trader to stand trial over the Libor scandal, was allowed to keep his £2.2 million bonus despite being sacked over his alleged crimes.
Southwark crown court heard that Mr Hayes asked Citigroup “How much are you going to pay me to go quietly?” during a disciplinary hearing in 2010.
Hayes was sacked by Citigroup, but the bank did not exercise the right to clawback his £2.2m bonus.
In his dismissal letter, the bank siad: “Citigroup has uncovered that you attempted to manipulate the Yen Libor and [the Tokyo equivalent] Tibor rates in order to benefit your trading position,” which it said was a clear breach of its code of conduct, “resulting in the possibility of serious regulatory actions”.
The court was also read a transcript of an interview between Mr Hayes and Serious Fraud Officers.
In the transcript, Hayes answers "yes" to the question: “Do you admit that you acted dishonestly in the manipulation and attempted manipulation of submissions bring made for Libor?”
Mr Hayes faces eight counts of conspiracy to defraud by manipulating the key interest rate, known as the Libor rate.
He denies the charges.