Banks accused of defrauding homeowners by rigging Libor

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CNN - James O'Toole, 10/16/12

The London headquarters of Barclays Bank, which has been fined for manipulating the Libor inter-bank lending rate.

NEW YORK (CNNMoney) -- Add one more to the list of alleged victims of Libor manipulation: homeowners.

A class action complaint filed earlier this month in New York federal court claims borrowers with adjustable-rate mortgages based on the London Interbank Offered Rate, or Libor, paid more than they rightfully should have due to the rate's manipulation by the global banks involved in setting it.

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