Jump to content
House Price Crash Forum
Sign in to follow this  

Us Regulator Widens Probe Into Banks’ Currency Rigging

Recommended Posts


US regulators are expanding their investigation into foreign exchange rigging as they examine whether clients of big banks such as Barclays could have lost out in currency deals because of the way their electronic trading platforms were set up.

News that Benjamin Lawsky, New York’s superintendent of financial services, has subpoenaed more banks came as the Department of Justice is reportedly raising the pressure on Barclays, Royal Bank of Scotland and other banks to plead guilty to separate criminal charges of forex manipulation.

Neither the DoJ nor Mr Lawsky’s New York banking regulator took part in last November’s settlement involving authorities in the US, UK and Switzerland; six banks were fined more than $4bn after it was alleged their traders had rigged benchmarks used in the forex markets. RBS paid out $643m to reach a settlement with the UK’s Financial Conduct Authority and the US Commodity Futures Trading Commission, but Barclays pulled out of the talks at the last minute, amid concerns that further action from US regulators was still pending.

The New York regulator widened its inquiries after discovering that algorithms used in the computer programs on banks’ electronic platforms allowed for a “latency period” between the making and the acceptance of an offer. Mr Lawsky is believed to be examining whether these computer platforms could have allowed the banks to trade using knowledge of pending orders from institutional clients, an illegal practice known as front running.

Will the customers be getting a refund???

Share this post

Link to post
Share on other sites

light touch really worked.

Banks have to be held down in a stranglehold before they will behave.

They should have a taser button at the FCA....stun a bank a day.

Share this post

Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   209 members have voted

    1. 1. Which of the Prime Minister's options would you choose?

      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.