Sacramento County's massive lawsuit accusing 18 global banks of interest-rate manipulation has been shipped to a New York courtroom.
The lawsuit will be heard by the same federal judge who is presiding over two dozen similar cases.
Sacramento's case was filed July 23 in U.S. District Court against Bank of America, Barclays, JPMorgan Chase and others. It will now be heard in U.S. District Court in Manhattan by Judge Naomi Reice Buchwald.
The suits all claim that the big banks teamed up to manipulate Libor, the London interbank offered rate, a sort of super interest rate that affects hundreds of rates around the world.
Sacramento's lawsuit doesn't specify damages, but claims the county was harmed both when the banks drove Libor up and when they drove the rate down. When Libor was inflated, it cost the county more money to borrow. When it was depressed, the county lost money when it loaned money to banks through financial instruments called interest rate swaps.
Call The Bee's Dale Kasler, (916) 321-1066. Follow him on Twitter @dakasler.