California cities and counties sued UBS AG, Barclays Plc and 20 other banks alleging that they lost millions of dollars because the financial institutions manipulated the benchmark Libor rate, Bloomberg News reported yesterday. California public entities have received reduced interest payments on swaps, corporate bonds and other investments tied to Libor, the law firm Cotchett, Pitre & McCarthy LLP said. The Burlingame, Calif.-based firm said complaints were filed in federal court in Los Angeles, San Francisco and San Diego on behalf of at least eight entities against 20 current and former banks that set Libor rates. The counties of San Diego and San Mateo, and the city of Riverside, California, are among the plaintiffs, according to the law firm.
