"We [Barclays] just fit in with the rest of the crowd if you like. We know that we’re not posting um, an honest Libor."
The New York Fed representative expresses sympathy and understanding:
"You have to accept it," she says. "I understand. Despite it’s against what you would like to do. I understand completely."
"The Barclays employee explained that Barclays was underreporting its rate to avoid the stigma associated with being an outlier with respect to its Libor submissions, relative to other participating banks," the New York Fed statement said.
More detail can be found here: