HSBC (HSBC.US) has been fined $33.4 million by the EU after losing a case in European court.

On Wednesday, Europe's second highest court sided with the European Union's antitrust regulator in a long-running case, dismissing an appeal by HSBC (HSBC.US), the British banking giant, against a 32.7 million euro (about $34.4 million) fine for its role in a cartel that rigged the benchmark eurozone interbank lending rate.

The European Commission, the EU's authority on competition, imposed the regulatory fine in 2021, saying HSBC, JPMorgan (JPM.US) and Credit Agricole (CAGR.PA) had participated in a cartel that rigged the benchmark eurozone interbank lending rate in 2007.

"The General Court confirmed the European Commission's amended regulatory judgment against HSBC. The fine of 32.739 million euros is upheld," the Luxembourg court said after dismissing all of HSBC's arguments.

HSBC can appeal to the European Court of Justice, the EU's highest court, under European regulatory rules.

The EU's antitrust enforcement agency originally fined HSBC 33.6 million euros in 2016, but the General Court in 2019 overturned the penalty, saying the regulator had failed to provide sufficient reasons.

The Commission then issued a second decision in 2021, cutting the fine.

The Commission said seven large banks colluded between September 2005 and May 2008 to rig the then-benchmark eurozone interbank lending rate to boost profits or reduce risk exposure. The eurozone interbank lending rate is the reference point for interest rates on derivatives, interest rate futures, savings accounts and mortgage loans.

Deutsche Bank, Royal Bank of Scotland and Societe Generale admitted to wrongdoing in the financial markets in exchange for significantly reduced fines, while another British banking giant, Barclays, acted as a whistleblower and escaped a massive fine.

The EU, US and UK regulators have all fined the large banks billions of euros for rigging benchmark interest rates and the foreign exchange market.

The case is T-561/21, "HSBC and Others v European Commission."