Deutsche Bank Reaches $100 Million Deferred-Prosecution Deal
Bloomberg, 08 January 2021
Deutsche Bank AG agreed to pay more than $130 million to settle criminal and civil charges that it bribed foreign officials and manipulated the market for precious-metals futures through a trading tactic known as spoofing. The Frankfurt-based bank agreed to a deal in which it won’t be prosecuted as long as it doesn’t engage in the practices again for more than three years, and wasn’t required to spoofing. Big banks have been rushing to conclude legal deals before the change of U.S. administrations, partly out of concern that there may be stiffer fines under a Democratic president. Three top U.S.-based banks agreed to pay more than $4 billion in settlements announced just before the November election, on issues ranging from bribery to market manipulation. Continue reading “Article: Deutsche Bank Reaches $100 Million Deferred-Prosecution Deal”
Deutsche Bank To Pay Over $130M For FCPA, Fraud Violations
Jack Queen, 08 January 2021
Deutsche Bank AG agreed Friday to fork over more than $130 million to resolve separate yearslong bribery and commodities fraud schemes in a pair of agreements with the U.S. Department of Justice and the U.S. Securities and Exchange Commission.
Under the terms of a deferred prosecution agreement with the DOJ, the German bank will pay criminal penalties of $79.5 million for Foreign Corrupt Practices Act violations involving bribes to consultants in Saudi Arabia, Abu Dhabi and Italy in an effort to secure business there. Continue reading “Article: Deutsche Bank To Pay Over $130M For FCPA, Fraud Violations”
U.S. Clamps Down on Market Manipulation Known as Spoofing as Two Former Traders at Deutsche Bank are Found Guilty
SWFI, 28 September 2020
A Chicago federal jury found two former employees of Deutsche Bank AG guilty of fraud charges for their respective roles in fraudulent and manipulative trading practices involving publicly-traded precious metals futures contracts. This case was investigated by the FBI’s New York Field Office. According to the DOJ press release, “After a two-week trial, James Vorley,
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Two Ex- Deutsche Bank traders found guilty of spoofing gold and silver markets
Neils Christensen, 27 September 2020
U.S. authorities, in an effort to clean up trading activity in the precious metals markets, won a major victory Friday after two former employees of Deutsche Bank traders were found guilty of manipulating gold and silver prices.
Friday, after a two-week court case a federal judge in Chicago found James Vorley, 42, of the United Kingdom, and Cedric Chanu, 40, of France and the United Arab Emirates, were convicted of three counts and seven counts, respectively, of wire fraud affecting a financial institution.
“Today’s jury verdict shows that those who seek to manipulate our public financial markets through fraud will be held accountable by juries and the department,” said Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division in a press release. Continue reading “Article: Two Ex- Deutsche Bank traders found guilty of spoofing gold and silver markets”
Former Deutsche Bank traders convicted of trying to manipulate gold and silver prices
Bloomberg, 26 September 2020
Prosecutors behind a sweeping US crackdown on market “spoofing” scored a big win on Friday when former Deutsche Bank traders Cedric Chanu and James Vorley were convicted of fraud for manipulating gold and silver prices.
A federal jury in Chicago, after three days of deliberations, concluded Mr Chanu and Mr Vorley made bogus trade orders between 2008 and 2013 to illegally influence precious metals prices. The week-long trial was the latest US prosecution of a “spoofing” case since the global market “flash crash” in 2010. Continue reading “Article: Former Deutsche Bank traders convicted of trying to manipulate gold and silver prices”
Ex-Deutsche Bank Gold Traders Found Guilty in Spoofing Trial
Bloomberg, 26 September 2020
Prosecutors behind a sweeping U.S. crackdown on market “spoofing” scored a big win Friday when former Deutsche Bank AG traders Cedric Chanu and James Vorley were convicted of fraud for manipulating gold and silver prices.
A federal jury in Chicago, after three days of deliberations, concluded Chanu and Vorley made bogus trade orders between 2008 and 2013 to illegally influence precious-metals prices. The weeklong trial was the latest U.S. prosecution of a “spoofing” case since the global market “flash crash” in 2010. Continue reading “Article: Ex-Deutsche Bank Gold Traders Found Guilty in Spoofing Trial”
Ex-Deutsche Bank Traders Convicted of Wire Fraud in Market-Manipulation Case
Dave Michaels, 25 September 2020
A jury on Friday convicted two former Deutsche Bank employees accused of manipulating precious-metals prices, boosting prosecutors’ efforts to punish traders for conduct that has cost banks millions of dollars in civil and criminal fines.
The verdict represents prosecutors’ second win in trials over conduct known as spoofing, a rapid-fire manipulation tactic that involves sophisticated detective work to expose. Continue reading “Article: Ex-Deutsche Bank Traders Convicted of Wire Fraud in Market-Manipulation Case”
Ex-Deutsche Bank Traders Must Face Spoofing Case, Judge Says
Bloomberg, 21 October 2019
The criminal case against two former Deutsche Bank AG employees accused of fraudulent and manipulative precious-metals trading can proceed, after a federal judge on Monday rejected their request for dismissal.
U.S. District Judge John J. Tharp in Chicago said prosecutors had properly used the wire-fraud statute to charge James Vorley and Cedric Chanu with spoofing, part of an alleged multiyear scheme to defraud other traders on the Commodity Exchange Inc., a venue run by CME Group Inc.’s Chicago Mercantile Exchange.
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The Government’s New Strategy to Crack Down on ‘Spoofing’
Peter J. Henning
New York Times, 4 September 2018
The Justice Department has tried to crack down on traders who try to move markets by entering and quickly canceling orders, conduct that goes by the catchy moniker “spoofing.”
But the government’s early prosecution of the crime has faced a big setback. In just the second trial for spoofing, which the Dodd-Frank Act outlawed, a Connecticut jury acquitted a former trader at UBS of spoofing this spring. That raised questions about whether prosecutors can pursue these cases.
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Ex-Deutsche Bank Traders Charged in Expanding Spoofing Probe
Chris Dolmetsch, 25 June 2018
Two former Deutsche Bank AG employees were charged with fraudulent and manipulative trading involving precious metals futures contracts through a practice known as spoofing as a federal probe on illegal market practices continues to widen.
James Vorley, 38, of the U.K., and Cedric Chanu, 39, of France and the United Arab Emirates, were indicted Tuesday for conspiracy and wire fraud by a grand jury in Chicago.
The two men are accused of engaging in a multiyear scheme to defraud other traders on the Commodity Exchange Inc., a venue run by the Chicago Mercantile Exchange Group. Prosecutors said they worked with another Deutsche Bank trader, David Liew, to place fraudulent orders that they didn’t intend to execute to create a false sense of supply and demand and induce other traders to enter into transactions they wouldn’t have otherwise made.
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