[ by Melanie Gretchen ] A British bank that's largely owned by the British government, has chosen not to cooperate with Canadian regulators as it had agreed to do in this investigation into the manipulation of Libor, for which Barclays already agreed to pay a $453 million settlement.  The Royal Bank of Scotland (RBS), the resisting bank, is one of more than 10 banks under global scrutiny, according to court documents from Ottawa.  And, it is one of the few that is resisting to produce documents. Getting Into RBS. Like many other banks in this position, RBS is trying to avoid the fallout that has hit Barclays, which prompted 2 top executives to resign.  Specifically, as reflected in court documents, RBS said it was unable to share certain information with Canada's Competition Bureau because of British law.  Further, the bank said that sharing the documents would amount to an "unreasonable search and seizure" and would violate its "privilege against self-incrimination." The Canadian authorities originally conducted an investigation into this matter from 2007 to mid-2010, focusing on traders at JPMorgan Chase, UBS, Citibank, HSBC, Deutsche Bank, and the Royal Bank of Scotland.  These banks were prompted at that time by the CFTC, which was known to be conducting a wide-ranging investigation during the early days of the 2008 financial crisis.  For all it knew, the Canadian authorities may have thought that their investigation was concluded. However, Canada and at least 8 other governments reentered to "fray" upon learning that the Libor investigation had become focused, once again - concurrent with Barclays' agreement to settle CFTC and FSA charges that the bank had manipulated Libor rates. As it turned out, the U.S. Justice Department also is building potential criminal cases against big banks and their employees, including actions against traders at Barclays. Un-British. To date, only 2 big banks other than Barclays – UBS and Citigroup – have aided authorities in the investigation, according to people close to the matter.  So, while RBS is one of the banks in the majority that are not fully cooperating, it is feeling much pressure to do so.  First, RBS is essentially a British government entity - 82% owned by the government.  Second, RBS is moving against a tide of public opinion against banks and regulators who were responsible for manipulating the Libor interest rates or for not halting it in its tracks.  To make the situation more uncomfortable, British politicians have been "fanning the fire" and making both bank executives and regulatory officials look guilty for their respective roles. For further details, go to [Dealbook, 7/16/12].