OFT probes 2 banks after price-fixing raid
Royal Bank of Scotland and Barclays have been raided by the consumer watchdog regarding possible price-fixing in their commercial banking units.
Banks must simplify products to avoid regulationThe Office of Fair Trading (OFT) said on Monday it had launched the investigation into alleged anti-competitive conduct after raiding the two banks about two weeks ago.
The investigation is into loans to professional services companies, such as law and accountancy firms. The OFT said the probe was at an early stage.
Barclays said it alerted the OFT on March 17 after it became aware that some of its commercial banking staff "had been approached from outside Barclays in a manner which we regarded as inappropriate".
Barclays said it is the so-called "leniency applicant", which means it started the investigation. In the past such companies have avoided prosecution for alerting the regulator.
RBS said it was cooperating with the OFT investigation and said it would be inappropriate to comment further.
The OFT is attempting to clamp down on collusion on prices and has probed several other industries, including retail, dairy and construction.
(Reporting by Steve Slater; Editing by David Holmes)
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