Sources with knowledge of the matter were quoted by Bloomberg as saying that talks with Barclays, Citigroup, JPMorgan Chase and UBS are underway, and penalties are likely to be announced in the coming months.
The regulator aims to keep the scope of the deal narrow so as to fast track the settlement, the sources added, while noting the agreements are yet to be signed and may stretch into 2015.
One of the sources said that Royal Bank of Scotland (RBS) and HSBC may also be part of the group settlement.
Spokesmen of both FCA and the banks in question refused to comment on the discussions.
The investigations are focused on allegations that dealers at the world’s major banks conspired to manipulate the WM/Reuters rate, a benchmark used by pension funds and money managers for determining foreign exchange prices.
Having fired, suspended or put on leave members of their foreign-exchange teams after the allegations surfaced in 2013, all six banks have already mentioned that they are cooperating with the investigations.
FCA chief executive Martin Wheatley told in February that the investigation is unlikely to be concluded before 2015.
Meanwhile, the UK’s Serious Fraud Office prosecutors also launched a criminal investigation into conduct in currency markets this week, and charges are expected to come as soon as next year, as reported by Reuters.
In addition, a criminal and an antitrust investigation is being conducted by the US Justice Department into the matter.
An undisclosed source told the news agency last month that the department is preparing to impose first penalties and bring charges this year.
Image: Barclays is one of the banks in talks with FCA to settle currency-rigging investigation. Photo: courtesy of A P Monblat.
