Romania's Competition Council has proposed 800 million euros in fines against ten banks accused of manipulating the ROBOR interbank market index. This proposed amount exceeds the total fines issued by the council in 2025 by more than tenfold, which were 68.9 million euros. The investigation, which began in late 2022, has scrutinized the actions of major financial institutions, including Banca Transilvania, BCR, BRD-Société Générale, ING Bank, Raiffeisen Bank, CEC Bank, UniCredit Bank, OTP Bank România, EximBank, and Intesa Sanpaolo România.

These banks are accused of engaging in practices that led to the manipulation of the ROBOR index, consequently increasing interest rates for borrowers across Romania. The Competition Council's detailed investigation involved unannounced checks at the banks' headquarters. Investigators examined computers, phones, emails, and chat logs of bank officials, focusing on discussions related to ROBOR quotations.

A thorough 700-page control report was drafted, indicating potential violations of competition law. This is not the first time Romanian banks have faced scrutiny over their practices. In 2008, during the financial crisis, similar accusations were leveled against banks, with the National Bank of Romania accusing institutions of "attacking the leu."

Raiffeisen and BRD were fined, although BRD's fine of 4 million euros was later annulled, and Raiffeisen's 3.4 million euro fine was halved. The ROBOR index, which is calculated daily from bank quotations with extreme values removed, was a fundamental component in determining the interest rates for many loans before the introduction of the IRCC-linked mortgage loans. The alleged manipulation of this index meant that consumers faced higher interest rates, significantly impacting mortgage and loan repayments.

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The banks are required to respond to the preliminary report sent by the Competition Council and the National Bank of Romania (BNR). The council's report, which indicates possible competition law violations, is a critical document in the ongoing investigation. The plenum of the Competition Council is expected to make a decision before the end of June.

This proposed action by the Competition Council represents a significant move to enforce competition law and curb anti-competitive practices in the Romanian banking sector. The council's readiness to impose such hefty fines underscores the severity of the alleged infractions and their impact on the Romanian economy and consumers. The financial implications of these fines are substantial.

If imposed, the 800 million euro penalties would place a considerable financial burden on the involved banks, potentially affecting their operations and financial stability. For consumers, the outcome of this investigation could lead to more transparent and fair market practices, potentially resulting in lower loan interest rates in the future. The banks involved in the investigation have yet to publicly respond to the allegations.

As they prepare their responses to the preliminary findings, the financial community and consumers alike await the Competition Council's final decision with keen interest. The outcome of this case could set a precedent for future regulatory actions within the banking sector. The next key development in this case will be the decision of the Competition Council's plenum.

Scheduled to occur before the end of June, this decision will determine whether the proposed fines will be upheld and what further actions, if any, will be taken against the banks. As the situation unfolds, the ramifications of the Competition Council's investigation into ROBOR manipulation will likely resonate throughout the Romanian financial sector, influencing both regulatory practices and consumer trust in banking institutions.