Article: ECU Group Accuses HSBC of Fraud and Misconduct Made on Its FX Trading Desk

Article - Media

ECU Group Accuses HSBC of Fraud and Misconduct Made on Its FX Trading Desk

Felipe Erazo, 15 June 2021

A currency manager, ECU Group has accused the multinational investment bank, HSBC of fraud and misconduct within its foreign exchange (forex) trading desk between 2004 and 2006. According to a report published by the Financial Times, quoting a hearing at the UK High Court on Monday, an alleged ‘rotten culture’ between such a period allowed bankers to misuse confidential data.

In fact, the ECU Group claims that HSBC is responsible for having committed fraud related to 52 forex trades it placed with the bank in those years. The allegations were made in the context of a trial that expects to last for at least seven weeks. The banking giant denied all the claims made by the currency manager, the FT said. Continue reading “Article: ECU Group Accuses HSBC of Fraud and Misconduct Made on Its FX Trading Desk”

Article: HSBC’s ‘Rotten’ Traders Accused of Gaining From Secret Info

Article - Media

HSBC’s ‘Rotten’ Traders Accused of Gaining From Secret Info

Jonathan Browning, 14 June 2021

HSBC Holdings Plc faced accusations from an ex-client that its “rotten” traders used confidential information to make a profit, at the start of a London trial examining allegations of front running at the bank’s foreign exchange desk over 15 years ago.

The bank’s currency team deliberately traded ahead of client orders during a period far earlier than HSBC has previously admitted to, currency investment firm ECU Group Plc said. HSBC dismissed the claims as “incredibly stale.” Continue reading “Article: HSBC’s ‘Rotten’ Traders Accused of Gaining From Secret Info”

Article: U.K. Probe of Gupta’s GFG a Big Test for Beleaguered SFO

Article - Media, Publications

U.K. Probe of Gupta’s GFG a Big Test for Beleaguered SFO

Ellen Milligan, 16 May 2021

The Serious Fraud Office will start a criminal probe into Sanjeev Gupta’s GFG Alliance just as the beleaguered British prosecutor faces intense criticism for its inability to secure a high-profile conviction.

The SFO has struggled to prosecute individuals after securing settlements with companies. In recent weeks, it dropped its probe into former Airbus SE directors and was dealt a humiliating setback after its trial against two former Serco Group Plc directors fell apart because it failed to disclose evidence.

The investigation into suspected fraud and money laundering in relation to GFG and its financing agreements with Greensill Capital may well be its biggest probe in years and much is riding on it. There’s pressure from lawmakers for the prosecutor to investigate Gupta’s empire and its dealings with Greensill. Continue reading “Article: U.K. Probe of Gupta’s GFG a Big Test for Beleaguered SFO”