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Carney declines to comment on auctions probe report

LONDON (Reuters) - Bank of England Governor Mark Carney declined to comment on a report that the central bank had launched an internal inquiry into possible wrongdoing in British money markets. The Financial Times reported in November that the Bank of England was investigating whether staff knew or even aided possible manipulation of auctions it held at the onset of the financial crisis to pump liquidity into the banking system. Carney was asked about the report by lawmakers in Britain's parliament on Tuesday. Last year, the BoE commissioned an investigation into what its staff knew about the manipulation of foreign exchange rates by traders at leading global banks. That report found that the Bank's chief foreign exchange dealer failed to escalate his concerns about possible market rigging to his managers. (Reporting by William Schomberg, editing by David Milliken)