The move wrongly fattened the banks’ profits and picked profits from clients, the suit claims.
The Treasury then doles out the bonds proportionately to the bidders at the same price.
The bank that asked for the best price gets the most bonds.
Probes on the auction practices are being conducted by the Justice Department, the Securities and Exchange Commission and other federal, state and overseas regulators, sources said. The banks named in the suit are primary dealers, which means they buy the debt directly from the Treasury and resell it to their clients at a pre-determined price.
Typically, the Treasury holds an auction, then banks submit their bids for US debt based on how much they think those bonds are worth.
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With automatic synchronization, all your important information will be at your fingertips, whether you're at home or on the go.Each bank declined to comment on the lawsuit after it was first filed.Sage Kelly, 42, the -million-a-year head of healthcare investment banking at Jefferies & Company, is portrayed in court papers filed by wife Christina Di Mauro Kelly as a habitual drug user who was regularly unfaithful and abusive to his children.Traders at the Wall Street banks shared the prices that their clients had sought to buy the bonds, giving each of the banks in the alleged cartel a clearer picture of what they thought the market was, and a better chance at getting a bigger share of the bonds to sell, according to the complaint.Details about bid prices are supposed to be a closely held secret.At some point during most days, Sage will call Cameron or Logan a 'f--king retard.' That the girls are deeply upset and hurt by Sage's ugly comment is illustrated by Cameron's imploring me: 'Mommy, can you please tell daddy too stop calling me a f--king retard?