Barclays guilty of manipulating interest rates

[scorza]

http://www.guardian.co.uk/business/2012/jun/27/barclays-chief-bob-diamond-bonus-fine

Fined almost £300m by UK regulators, other fines from other regulators to follow. What does this do for London's reputation? Well the ever excellent Faisal Islam on C4 news said that a lot of fingers are being pointed at London and asking why so many large scale frauds start here?

 

[Rroff]

Well your hardly gonna get large scale financial frauds starting in a place that isn't a major financial center :S

 

[Danthus]

Other banks are involved hence the American authorities being involved.

 

[Craterloads]

Yep they stated they cant have done it alone, so other banks are involved too.

And they say dont blame the *ankers!

 

[[TW]Fox]

a lot of fingers are being pointed at London and asking why so many large scale frauds start here?

Quite. Hardly any of these large scale frauds seem to start in Totnes or Barrow in Furness, for example

 

[Danthus]

Yep they stated they cant have done it alone, so other banks are involved too.

And they say dont blame the *ankers!

BLAME THE BANKERS

BINGO.

 

[scorza]

Quite. Hardly any of these large scale frauds seem to start in Totnes or Barrow in Furness, for example

or Frankfurt, Singapore, Zurich, Hong Kong, Tokyo etc.

 

[Danthus]

or Frankfurt, Singapore, Zurich, Hong Kong, Tokyo etc.

That awaits to be seen as other banks are involved.

 

[[TW]Fox]

or Frankfurt, Singapore, Zurich, Hong Kong, Tokyo etc.

Definately not Zurich, I agree. btw, remind me again where the bank that suffered £1.3bn of fraud late last year is based?

 

[Danthus]

Definately not Zurich, I agree. btw, remind me again where the bank that suffered £1.3bn of fraud late last year is based?

 

[Hatter The Mad]

Well your hardly gonna get large scale financial frauds starting in a place that isn't a major financial center :S

STOP IT, BASIC AND OBVIOUS LOGIC MAN. You're ruining his moment

 

[semi-pro waster]

In answer to one of the questions, it's hardly likely to enhance London's reputation but by the sounds of it there are likely to be more banks implicated so the end result may be that there's no real negative impact to London as a financial centre if it is viewed as simply one of a number of locations where such fraud has existed.

 

[Muffin`]

They can pay the fines with the taxes from BANKERS BONUSES.

 

[singularity]

They can pay the fines with the taxes from BANKERS BONUSES.

Surely they'll be able to offset the fines against tax.

 

[Tunney]

Large performance-based bonuses encourage risky and fraudulent behaviour. It's hardly surprising.

 

[Cosimo]

or Frankfurt, Singapore, Zurich, Hong Kong, Tokyo etc.

What other large scale frauds have started in London?

 

[Rids]

Genuinely interested in seeing how they managed to manipulate the LIBOR rate.

 

[dowie]

lol its been fairly common knowledge for a while now that LIBOR was unreliable and manipulated - its not just Barclays, doesn't really work like that - front office staff at other banks have already been sacked for their role in manipulating it.

British Bankers Association removed links from its website in an apparent attempt to distance itself from LIBOR too.

 

[dowie]

Genuinely interested in seeing how they managed to manipulate the LIBOR rate.

not exactly rocket science - they submit a made up quote and get their buddies to do similar.

 

[Rids]

not exactly rocket science - they submit a made up quote and get their buddies to do similar.

With the sheer volumes of money traded via LIBOR though I just dont see an institution the size of Barclays being able to have that much of an impact. I'll have to do some reading.