London court gives green light to £2.7bn foreign exchange claim against six major banks Forex claim The Court of Appeal ruled today that a £2.7bn class action claim relating to foreign exchange manipulation can proceed on an opt-out basis. The claim, brought by FX Claim UK, represents tens of thousands of participants in the foreign exchange market who suffered damages from the anticompetitive behaviour of six of the largest banks in [...]
Deutsche Bank compensates Spanish winemaker over forex mis-selling Deutsche Bank compensates Spanish winemaker over forex mis-selling Deutsche Bank has dished out over €10m to Europe’s largest wine exporter to settle a dispute over the alleged mis-selling of foreign exchange derivatives, according to reports. As the lender’s internal investigation nears its close, the decision to settle could pile pressure on Goldman Sachs and BNP Paribas, which face similar accusations from Japanese engineering [...]
London forex trader sues Citigroup for $112m over ‘malicious’ prosecution A London-based former Citigroup trader is suing the bank for over $112m (£91m), alleging the bank made materially false and malicious statements to US prosecutors which led to him being tried in New York on foreign exchange rigging-charges. Rohan Ramchandani, former European head of the US bank’s forex spot market trading desk, is alleging Citigroup [...]
Banking pay-outs: Forex rate-rigging scandal will be bigger than Libor August 24, 2015 The foreign exchange market is the largest financial market in the world, with transactions worth $5.4 trillion taking place every day. The revelation that banks colluded to attempt to manipulate the forex market over many years makes it likely that forex claims will cost the banks more in compensation, as well as regulatory fines, than [...]
HSBC, Barclays and RBS among nine banks signing up to $2bn US foreign exchange settlement August 14, 2015 Nine banks including HSBC, Barclays and Royal Bank of Scotland (RBS) have agreed a $2bn (£1.3bn) settlement with US investors over currency rigging-accusations. Goldman Sachs, BNP Paribas, Bank of America, JP Morgan, Citibank and UBS also signed up to the deal, according to lawyers negotiating on behalf of the investors. A statement by law firm [...]
FCA: Lessons still to learn from rate-rigging scandals such as Libor and forex July 29, 2015 The Financial Conduct Authority (FCA) has warned banks are yet to fully apply the lessons learned from rate-rigging scandals such as Libor, forex and gold to other benchmarks. The FCA's "Thematic Review of Oversight and Controls", which looked into 12 firms between August 2014 and June 2015, assessed all benchmarks apart from Libor and forex, which [...]
Lord Mayor to tell Mansion House: City miscreants are guilty of theft June 9, 2015 Lord Mayor Alan Yarrow will demand that the City’s bad eggs are made to pay for their misbehaviour, during a hard-hitting speech at tonight’s Mansion House dinner. “I have little sympathy for those who put themselves before their clients – using their firms to feather their own beds,” the Lord Mayor will say, arguing [...]
Libor case: Senior Bank of England official “The Hammer” received emails from Tom Hayes’ brokers May 27, 2015 A senior Bank of England official nicknamed “the Hammer” was sent emails that were part of an alleged campaign to rig the benchmark interest rates, a London court heard today. Martin Mallett, who at the time was chief currencies dealear at the BoE, was among dozens of people who received an email in 2007 [...]
Banks clobbered by $6bn forex-rigging fine but share prices rise as penalties less severe than expected May 20, 2015 Six of the world’s biggest banks were punished with a mega $5.7bn (£3.7bn) fine by financial watchdogs yesterday after foreign currency traders were found to have rigged prices to rip off customers. Barclays, Royal Bank of Scotland, Swiss giant UBS and three US banks – JP Morgan Chase, Citi and Bank of America – [...]
Forex-rigging fines: Legal troubles continue to brew despite FX settlement May 20, 2015 European banks embroiled in the FX-rigging scandal saw their shares rise yesterday after regulatory fines came in lower than unexpected, despite further legal woes looming on the horizon in UK courts. FTSE-listed Barclays rose 3.37 per cent and RBS increased 1.78 per cent, while in Zurich UBS ended the day 3.23 per cent higher [...]