Huarong Wires $978 Million to Repay Bonds as Doubts Persist
Bloomberg News, 31 May 2021
China Huarong Asset Management Co. made the biggest bond payment since confidence in its financial health began plunging two months ago, adding to signs that the company still has access to near-term liquidity.
Huarong wired funds for a $900 million dollar bond due June 3, a person familiar with the matter said, asking not to be identified discussing private information. One of the company’s onshore units also paid a 500 million yuan ($78 million) bond that matured Sunday, people familiar said. Continue reading “Article: Huarong Wires $978 Million to Repay Bonds as Doubts Persist”
Global Stocks Slip as Inflation Remains in Focus
Patricia Kowsmann and Xie Yu, 31 May 2021
Global stock markets were mixed Monday as investors wrapped up a month of trading dominated by concerns over inflation and the pace of the international economic recovery.
Trading was light with holidays in the U.S. and the U.K. S&P 500 stock futures were little changed Monday.
In Europe, Germany’s DAX index slid 0.2%, dragged by Deutsche Bank shares, which fell 1.6%. The Wall Street Journal reported Sunday that the Federal Reserve told the bank in recent weeks that it is failing to address persistent shortcomings in its anti-money-laundering controls, according to people familiar with the matter. Continue reading “Article: Global Stocks Slip as Inflation Remains in Focus”
UPDATE 1-European stocks retreat from record highs, Deutsche Bank drags
Sruthi Shankar, 31 May 2021
European stocks slipped from record highs on Monday in subdued trading due to holidays in major markets, but optimism over a swift economic recovery put the benchmark index on course for its fourth month of gains.
The pan-European STOXX 600 index was down 0.1% in morning trade, with shares in Frankfurt falling 0.3% and Paris dipping 0.1%. UK and US markets are closed for a holiday, keeping trading volumes muted across the board.
Among the top drags was Deutsche Bank, down 1.8% after the Wall Street Journal reported that the U.S. Federal Reserve told the German lender it was failing to address persistent shortcomings in its anti-money-laundering controls. Continue reading “Article: UPDATE 1-European stocks retreat from record highs, Deutsche Bank drags”
UPDATE 2-China’s yuan pulls back after officials warn against speculation
Winni Zhou, Samuel Shen and Andrew Galbraith, 31 May 2021
SHANGHAI, May 31 (Reuters) – The yuan hit a three-year high against the dollar on Monday before falling back following a chorus of warnings from Chinese officials against speculative bets on the currency.
A former senior official at the foreign exchange regulator joined a slew of current and former officials on Monday cautioning against one way bets on the yuan, which has seen a two-month long rally against the dollar. In a commentary in the official China Securities Journal, Guan Tao warned against herd behaviour that could harm market order and weigh on China’s exporters. Continue reading “Article: UPDATE 2-China’s yuan pulls back after officials warn against speculation”
The Market Is Ripe For Another GameStop Saga
Michael Kern , 31 May 2021
About three months ago, the investing world was left reeling after retail investors proved they can beat Wall Street at its own game.
Reddit group “r/Wallstreetbets” (aka WSB)–a longstanding subreddit channel created nearly a decade ago where more than 4 million Reddit users discuss highly speculative trading strategies and ideas–engaged in a crowdsourced pump-and-dump scheme that created massive volatility in the stock markets by buying heavily shorted stocks such as GameStop Inc. (NYSE:GME), AMC Entertainment Holdings (NYSE:AMC), and BlackBerry Inc. (NYSE:BB), among others. The massive buying wave created large short squeezes as hedge funds betting against these stocks rushed to cover their positions and cut losses after GME skyrocketed an unfathomable 1,500% in the space of a few days; AMC saw its share price triple while BB jumped 460% before they came crashing to the ground after popular zero-fee trading app Robinhood blocked trading activity. Continue reading “Article: The Market Is Ripe For Another GameStop Saga”
Interpol intercepts $83 million fighting financial cyber crime
Sergiu Gatlan, 30 May 2021
The Interpol (short for International Criminal Police Organisation) has intercepted $83 million belonging to victims of online financial crime from being transferred to the accounts of their attackers.
Over 40 law enforcement officers specialized in fighting cybercrime across the Asia Pacific region took part in the Interpol-coordinated Operation HAECHI-I spanning more than six months.!–more–>
Between September 2020 and March 2021, law enforcement focused on battling five types of online financial crimes: investment fraud, romance scams, money laundering associated with illegal online gambling, online sextortion, and voice phishing.
The stolen funds were blocked from getting into the scammers’ accounts following multiple joint operations and months of collecting intelligence on the attackers’ operations.
Throughout Operation HAECHI-I, Interpol agents opened over 1,400 investigations targeting cybercrime in the Asia Pacific region (i.e., Cambodia, China, Indonesia, Korea, Laos, The Philippines, Singapore, Thailand, and Vietnam), with 892 cases having already been solved and the rest still being investigated.
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Fed Warned Deutsche Bank Over Anti-Money-Laundering Backsliding
Patricia Kowsmann and Jenny Strasburg, 30 May 2021
The Federal Reserve told Deutsche Bank AG DB 0.40% in recent weeks that the lender is failing to address persistent shortcomings in its anti-money-laundering controls, according to people familiar with the matter.
The Fed’s frustration has escalated to a point that the bank could be fined, the people said.
Deutsche Bank has poured massive resources into addressing repeated shortcomings and penalties related to allowing suspect transactions. The Fed told Deutsche Bank that instead of making progress, the German lender with a large Wall Street presence is backsliding. The regulator has said that some of the anti-money-laundering control problems require immediate attention, according to the people. Continue reading “Article: Fed Warned Deutsche Bank Over Anti-Money-Laundering Backsliding”
Swiss bank to pay almost $80MN fine after admitting to money laundering charges linked to bribery scheme of football officials
Paul Childs, 29 May 2021
Julius Baer, the third largest bank in Switzerland, has been ordered to pay a fine of more than $40 million and forfeit another $36 million after being found to have laundered money which was paid as bribes to football officials. The financial settlement comes amid an investigation by the US Department of Justice and is part of a deferred prosecution agreement with federal prosecutors after the DOJ said that the bank purposefully laundered cash through the US “to conceal the true nature of the payments and promote the fraud”.
The scheme saw illegal payments issued by sports marketers to officials from both FIFA and South American governing body CONMEBOL in return for rights to broadcast football matches. Continue reading “Article: Swiss bank to pay almost $80MN fine after admitting to money laundering charges linked to bribery scheme of football officials”
Money laundering gang sentenced over £5 million cash-seizure which is Met’s biggest ever
Rachael Davis, 29 May 2021
A gang of men has been sentenced to nearly ten years in jail after £5 million in criminal cash was seized from an apartment in Fulham. The three men were sentenced at Harrow Crown Court on Friday, May 28, after pleading guilty last year to conspiracy to conceal/disguise/convert/transfer/remove criminal property.
The Metropolitan Police ‘s long-running operation to tackle organised crime in the capital is targeting gun crime and large scale Class A drug supply. This bust has put a large scale money launderer behind bars, which the Met says will have a “major impact” on organised crime. Continue reading “Article: Money laundering gang sentenced over £5 million cash-seizure which is Met’s biggest ever”
Even in the face of surging grocery prices, retail beef and pork prices cause sticker shock
Laura Reiley, 29 May 2021
As food prices continue to rise, beef and pork have surged out front.
Overall food prices rose 0.4 percent from March, and are up 1 percent from a year ago, according to data released by the Bureau of Economic Analysis on Friday. The price of pork soared 2.6 percent in the month of April and 4.8 percent from a year ago, adjusting for seasonality. And while beef and veal prices stayed fairly flat for the month, they are up 3.3 percent from a year ago.
In a season that routinely sees increased demand for beef and pork, this goes far beyond people excited to get back outside to barbecue. Continue reading “Article: Even in the face of surging grocery prices, retail beef and pork prices cause sticker shock”
Fed Admonishes Deutsche Bank for Ongoing Compliance Failures
Robert Schmidt and Jesse Hamilton, 29 May 2021
The Federal Reserve has privately told Deutsche Bank AG that its compliance programs aren’t up to snuff, signaling that the scandal-plagued bank is failing to adhere to a number of past accords with U.S. regulators, according to people familiar with the matter.
The Fed’s recent warning came in an annual regulatory assessment that said Deutsche Bank hadn’t improved its risk management practices despite being under confidential agreements with the central bank to fix the issues, the people said. The assessment letter has the German bank’s leaders bracing for potential sanctions, including the possibility of a large fine, said one person briefed on the matter. Continue reading “Article: Fed Admonishes Deutsche Bank for Ongoing Compliance Failures”
‘Meme’ mob behind Gamestop frenzy might still imperil soaring AMC
Charles Gasparino, 29 May 2021
Adam Aron says he wants to increase his Twitter following to include about 1,000 more professed small-investor shareholders of the company he runs, AMC Entertainment.
His goal is to better “understand this phenomenon that has changed who owns AMC.” But based on the type of AMC shareholder who hangs out on Twitter, he may be surprised — and more than a little embarrassed — by what he finds.
AMC, of course, is the world’s largest movie-chain business, synonymous for many years with blockbuster movies, sticky floors and terribly overpriced popcorn. Continue reading “Article: ‘Meme’ mob behind Gamestop frenzy might still imperil soaring AMC”
How corrupt is Britain and will the government do anything about it?
Prem Sikka , 28 May 2021
The parliamentary debate was often framed by the minister and others around the narrative that Johnny Foreigner is corrupt and a threat to our values and global stability. The Minister said that 22 individuals from six countries have been sanctioned. No doubt, there are corrupt persons all around the world, but what about home grown corruption.
‘Serious corruption’ may be associated with bribery, misappropriation of property and much more. It is not defined in legislation, but its understanding is framed by seven policy priorities. One of these is that a practice is considered as ‘serious corruption’ if it ‘undermines a country’s democratic governance, the rule of law and human rights’. Continue reading “Article: How corrupt is Britain and will the government do anything about it?”
Bolivia’s Ex Minister Charged in Bribery and Money Laundering Scheme
ISOBEL VAN HAGEN, 28 May 2021
Bolivia arrested its former interior minister earlier this week over an alleged bribery and money laundering scheme that enabled a U.S.-based company to secure a government contract, the U.S. Department of Justice announced on Wednesday.
Arturo Murillo, along with another former Bolivian official, Sergio Rodrigo Mendez, are accused of receiving bribes from a Florida-based company and later using the American financial system to launder those bribes. Three U.S. citizens were also charged in the scheme, which took place between November 2019 and April 2020. They were arrested in Florida and Georgia. Continue reading “Article: Bolivia’s Ex Minister Charged in Bribery and Money Laundering Scheme”
Online crimes: S’pore police play key role in Interpol probe
Zaihan Mohamed Yusof, 28 May 2021
Singapore police played a crucial role that led to 585 arrests and US$83 million (S$110 million) intercepted in an Asia-Pacific probe coordinated by Interpol that sought to crack down on online financial crime.
Voice phishing, romance scams and money laundering linked to online gambling were the “top three types of online financial crimes in terms of the number of cases”, the world policing body told The Straits Times yesterday. In voice phishing ruses, callers often impersonate authority figures to scam victims into providing details that would see them lose their money. Continue reading “Article: Online crimes: S’pore police play key role in Interpol probe”