MPs call for inquiry into BoE liquidity investigation

The Treasury Select Committee has called for an inquiry into the initiation of a criminal investigation over the Bank of England's financial crisis liquidity auctions.

The current membership of the Treasury select committee, which will be replaced following the general election, recommended that their successors investigate the issue. The liquidity auctions, which took place in 2007 and 2008, were designed to allow banks to access additional cash at the height of the credit crunch . Last night MPs suggested the TSC examines why the Bank of England itself appointed a barrister, Lord Grabiner QC, to undertake an internal investigation into possible rigging of the auctions, and why the case was subsequently passed to the Serious Fraud Office earlier t...