The Wall Street Journal is reporting that the Arkansas Teacher Retirement System has filed a putative class action lawsuit against State Street Corp. alleging that the bank overcharged the it and other similarly situated customers in foreign exchange (Forex) currency transactions. See article by Jeanette Neumann, “State Street Is Sued by Arkansas Fund.” The suit […]
Banks overcharged major investment firms for currency trades, according to a Wall Street Journal article by Gregory Zuckerman, Carrick Mollenkamp and Lingling Wei, titled “Suspicion of Forex Gouging Spreads. The article cites bank insiders and the apparent broadening scope of alleged abuses in the $4 trillion foreign-exchange market.
Despite the upbeat partying and business cultivation by bankers in Davos, Switzerland, at least one attendee ? 38 year-old Barrie Wilkinson, a Cambridge grad and UK-based risk management analyst ? foresees a financial catastrophe that governments will not be able to handle. See InvestmentNews article, “Next banking crisis will hit in 2015 ? and be […]
Prosecutors have taken over whistleblower lawsuits against Bank of New York Mellon and State Street Corp. that accuse the banks of fraud in overcharging public pension funds by tens of millions of dollars for foreign-exchange transactions, according to a Reuters article edited by Lincoln Feast, entitled “Prosecutors widen currency probes: report.”
The U.S. Commodity Futures Trading Commission (CFTC) filed suit last week against 14 foreign currency exchange (Forex) dealers, according to a Jan. 26, 2011 CNNMoney article by Charles Riley, “Regulator sues foreign currency dealers.” The suit charges that the firms unlawfully solicited members of the public to engage in foreign currency transactions, operated without being […]
The world of foreign currency exchange trading or forex is rife with fraud. We are talking about stealing customers’ funds, as well as misrepresentations and omissions to disclose the true risks of forex trading even when the investors’ money is actually invested. Consider the following.
It may seem like something out of a movie where thieves or opportunists try to make money by taking advantage of fractions of a penny differences in trading, but unfortunately the National Futures Association, a self-regulatory organization policing the futures market, is beginning to analyze trades executed by its 16 member forex (foreign exchange) firms […]
Brazilian investigators cracking down on income-tax dodging and crimes against the Brazilian financial systems are focusing on Merrill Lynch, Credit Suisse, and UBS, who, they say, have violated laws which prohibit financial firms from opening accounts, making trades, or transferring money abroad, according to a Bloomberg article by Alexander Ragir and Michael Smith called “Merrill […]
HSBC Holdings Plc and JPMorgan Chase & Co. allegedly placed “spoof” trading orders to manipulate silver futures and options prices in violation of U.S. antitrust law, according to a Bloomberg News article carried by InvestmentNews, “JPMorgan placed ‘spoof’ orders to drive down silver prices: Suit.”
The U.S. Commodity Futures Trading Commission (CFTC) recently announced that a federal court in Texas had entered a final judgment order imposing monetary sanctions against Premium Income Corp. (PIC), and its affiliates, Inforex, Ltd., and Tri-Forex International, Ltd. totaling more than $123 million.
