Societe Generale to Pay out USD $1.34b for Libya Bribes

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Societe Generale, France’s 2nd biggest bank, is said to be ready to pay US and French authorities USD $1.34 billion in order to settle allegations that it bribed officials in Libya and manipulated the Libor interest rate.

According to French prosecutors, the bank had agreed to pay EUR €500 million (USD $585 million), to both the Department of Justice in the US and the French Parquet National Financier in order to end the inquiries in France and the US into its dealings with the regime under the Libyan dictator Muammar Ghadaffi.

Societe Generale agreed to pay each country EUR €250 million in order to avoid corruption trials on both sides of the Atlantic according to the French financial prosecutor’s office.

The bank recently announced that it had reached agreements to settle the Libyan investigations as well as a different US investigation into its alleged rigging of Libor interest rates. The bank went on to say it had already covered some of the cost, but did not disclose as to how much it had paid out in total.