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Ex-Deutsche Bank Trader Says He Set Libor Rate to Aid Positions

Chris Dolmetsch
Ex-Deutsche Bank Trader Says He Set Libor Rate to Aid Positions

A former Deutsche Bank AG trader who was responsible for submitting the company’s daily borrowing rates -- combined with those of other banks to calculate the Libor benchmark -- said he would often alter the figure at the request of other traders to benefit their own positions. James A. King took the stand Thursday in New York on the second day of a trial of Matthew Connolly and Gavin Black, former Deutsche Bank traders who are charged with conspiring to manipulate Libor from 2004 to 2011 to boost profits on particular trades and increase their own bonuses. King, who testified for the government as part of a deal in which he won’t be prosecuted, explained how traders often asked him to raise or lower the submission to help their own positions -- including Black, who sat nearby in the bank’s London office and could simply turn around and ask him to change it.