Isn’t it curious that Deutsche Bank would file a $60 million settlement in its gold price manipulation lawsuit on a Friday night?
That is the perfect time for it not to get much notice in the media.
Well that is just what the troubled bank did last night.
Deutsche has agreed to pay $60 million to settle a private antitrust lawsuit brought by traders and other investors who accused the German bank of conspiring to manipulate gold prices at their expense.
The preliminary settlement was filed on Friday with Federal District Court in Manhattan, and requires a judge’s approval.
Deutsche Bank denied wrongdoing. The bank in October agreed to pay $38 million to settle similar litigation over alleged silver price manipulation.
Amanda Williams, a spokeswoman for the bank, declined to comment. Lawyers for the plaintiffs did not immediately respond to requests for comment.
The case is one of many in the Manhattan court in which investors accused banks of conspiring to rig rates and prices in financial and commodities markets.
Investors sued Deutsche Bank, Barclays, Bank of Nova Scotia, HSBC Holdings and Societe Generale in 2014, claiming that they conspired to fix gold prices from 2004 to 2013.
While the investors did not estimate the size of the banks’ gold portfolios, they said the gold derivatives market alone reached $650 billion during the class period.
Deutsche Bank had agreed to settle its part of the case in April, but the terms were not disclosed until now.
In an Oct. 3 decision, Federal District Judge Valerie Caproni in Manhattan said investors could pursue much of their lawsuit against the other four banks.
Deutsche Bank has separately been in talks with U.S. authorities on a potential multibillion-dollar penalty related to mortgage securities.