Barclays, RBS and other banks face £1bn forex rigging lawsuit
Sean Farrell, 29 July 2019
Barclays, Royal Bank of Scotland and three other banks are being sued by investors for at least £1bn over rigging of the foreign exchange market in a test case for US-style class actions in the UK.
A US law firm that specialises in stock market litigation has filed the claim at the Competition Appeal Tribunal. The claim also targets US investment banks JP Morgan and Citigroup, and Switzerland’s UBS. The legal action follows the European commission’s decision in May to fine five banks more than €1bn (£910m) for colluding to reduce competition in markets for 11 currencies, including the US dollar, the euro and the pound.
Cartels of traders with names such as the “Three-Way Banana Split” operated on chatrooms to rig the multitrillion-dollar foreign exchange market. UBS, which informed the commission about the collusion, was not fined but Japan’s MUFG received a penalty. Continue reading “Article: Barclays, RBS and other banks face £1bn forex rigging lawsuit”
Credit Suisse Pays $135 Million to Settle New York FX Probe
Greg Farrell, 13 November 2017
Credit Suisse AG will pay $135 million to resolve currency-manipulation allegations by New York’s banking regulator, the latest echo from authorities’ long-running scrutiny of foreign-currency trading at big banks.
Traders at the Zurich-based bank, prodded by executives in some cases, shared information about clients’ currency orders, talked to traders from other banks and in some instances front-ran customer orders in an effort to boost the bank’s own profits, New York’s Department of Financial Services said as it announced a settlement on Monday.
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10 weapons Wall Street uses to manipulate you
Paul B. Farrell, 18 February 2014
New “Infinity Machine!” Yes. “Quantum Leap?” Yes. “The Future of Computing?” Well, no IPO yet. No Dell laptops. But wow, Time’s cover story sure is heaping praise on the amazing new quantum physics computer technology:
New quantum computing “promises to solve some of humanity’s most complex problems … backed by Jeff Bezos, NASA and the CIA … each costs $10,000,000 … operates at 459 degrees below zero.” Even the fact that “nobody knows how it actually works” isn’t a problem, says Time’s Lev Grossman. Why? Quantum computing “will change how we cure disease, explore the heavens and do business on Earth.”
But is it really a miracle-worker? Will it come with a moral conscience? Know right from wrong? Or will the amazing “Infinity Machine” just be the next generation of superhot, but soulless big-data processors? Ask yourself: Continue reading “Article: 10 weapons Wall Street uses to manipulate you”
Fuld says Lehman victim of short sellers
Stephanie Kirchgaessner and Greg Farrell
Financial Times, 2 October 2008
Dick Fuld, Lehman Brothers’ chief executive, broke his silence on the collapse of his bank by telling a congressional committee on Monday that he would go to his grave wondering why the US government opted to save AIG but allowed Lehman to fail.
Three weeks after the 158-year-old firm sought bankruptcy protection – the largest such filing in US history – Mr Fuld blamed Lehman’s collapse on a plague of naked short selling, and said in response to a question that he had no idea why US regulators would judge his company unworthy of a federal bail-out.
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