Nomura Trader Gamed Interest-Rate Swap Spreads, CFTC Claims (2)

Nomura’s former head of non-yen rate trading was sued by the U.S. Commodity Futures Trading Commission for allegedly manipulating the price of U.S. dollar interest-rate swap spreads.

John Patrick Gorman III “engaged in this scheme in order to benefit the bank” in a transaction with a bond issuer, according to a lawsuit filed in U.S. District Court in Manhattan on Monday. The suit didn’t identify the bank or issuer by name. Gorman is employed by Nomura but is no longer trading, according to a person with knowledge of the matter, who asked not to be identified.

Gorman, who is ...