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Posts Tagged ‘LIBOR rigging’

Libor Scam/Tom Hayes: Goes Much Higher Than Me

Posted by Larry Doyle on February 8th, 2013 9:04 AM |

I have long maintained that senior executives on Wall Street were very much aware of the collusive racketeering in the Libor rigging scandal. Why so? When a trader ‘makes it rain,’ that is, he is connected to a P/L that generates hundreds of millions of dollars, you better believe that the execs up the chain of command will want to know how the money is being made.

To think otherwise would display a level of naivete not found in these markets.

What evidence do we learn this morning that supports my premise that senior execs on Wall Street were aware that Libor was being manipulated? Let’s navigate as the WSJ writes about the “Rain-Man” >>>>>>>> (more…)

Libor Scandal: “Companies Do NOT Commit Fraud, People Do”

Posted by Larry Doyle on February 7th, 2013 6:19 AM |

What does it mean when news that one of the world’s largest financial firms pays a $612 million fine for behaviors that clearly smack of racketeering and nobody even blinks?

I will tell you what it means. It means that free market capitalism is losing, and cronyism in the financial system is simply becoming more deeply embedded. Do you disagree? (more…)

Libor Scandal: Deutsche Bank Went ‘All In’

Posted by Larry Doyle on January 10th, 2013 8:51 AM |

“Investment capital goes where it’s welcome and stays where it’s appreciated.” Maine governor Paul LePage

The more information one holds, the better positioned he is to take increased risk. If that information were to include the ability to influence if not outright manipulate a game/market, then one’s risk profile —that is, the size of one’s position — is likely to really increase.

Can you imagine if you were playing the tables in Vegas and you had knowledge as to what the dealer held and what he was likely to pull, what would you do?  (more…)

Barney Frank to Eric Holder: Time for Prosecutions . . . Really?

Posted by Larry Doyle on December 21st, 2012 9:24 AM |

The American public in totality is not stupid, although they are often treated that way by many in Washington.

Scandalous behavior within major Wall Street institutions has run rampant over the last decade — and likely a lot longer than that — and been addressed almost uniformly with token fines (relative to revenues generated) that are little more than a cost of doing business. Why does such scandalous behavior persist? (more…)

Libor Scandal: How Executives Must Have Known

Posted by Larry Doyle on December 20th, 2012 9:03 AM |

The intrigue surrounding the greatest financial fraud “of all time” could fill many a book and many a movie theatre. While the intrigue may make for riveting reading and viewing, the simple fact is this fraud comes with an exceptionally high cost for investors, consumers, and society as a whole.

How did the web of this manipulation grow so large? Where were the regulators and internal compliance people to snuff it out and bring some semblance of order to what can only be defined as “organized racketeering?”

While little focus has yet been shone on the regulators or those in compliance at the banks involved, we now begin to see some cracks in the Libor rigging foundation in terms of addressing the fact that senior executives were aware and involved in this manipulation. (more…)

Libor Scandal: “Biggest Financial Fraud of All Time”

Posted by Larry Doyle on December 13th, 2012 2:00 PM |

With news leaking that Union Bank of Switzerland is poised to pay a $1 billion fine for its involvement in the manipulation of Libor, we once again are led to the conclusion that, for those involved in running the major global financial institutions, “CRIME PAYS.”

It is insulting to those who have even an ounce of decency in their body to think that institutions such as Barclays, UBS, and certainly many more can engage in the “biggest financial fraud of all time” and simply write a check for their complicity.

The “biggest financial fraud of all time,” LD?  Yes, I have defined this price rigging racket in just such a fashion many times. Those are not merely my words today. Who else joins me and echoes those sentiments?  (more…)

Libor Scandal: Trader Highlights Manipulation in 1991

Posted by Larry Doyle on July 27th, 2012 10:03 AM |

When did the scandalous manipulation of the London Interbank Overnight Rate, that is Libor, really begin?

I have posed that question often over the course of the last month. E-mails emanating from Barclays point to manipulation of Libor back in 2005.

The industry and regulators would clearly like to keep the focus of this scandal to the crisis period of 2008. Why is that? The excuse of, “We were trying to save the system” would seem to provide a very wide cover for all parties involved. But, again I ask, when did it really begin?  (more…)






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