‘Curse of Dick Fuld’: Ken Watanabe, chief executive officer of Nomura Holdings and the driving force behind the bank’s purchase of Lehman Brothers European and Asian operations, resigned as the company indicated that insider-trading offenses committed within the company go beyond those identified by Japanese regulators. Mr. Watanabe leaves Nomura three weeks after Robert Read More
Geithner visits Congress: Treasury secretary Timothy Geithner will testify before the House Financial Services Committee today about the rate-rigging scandal, where it figures he’ll be asked why the New York Fed failed to alert other regulators when a Barclays employee told the Fed that the bank was rigging Libor in April 2008. (Mr. Geithner Read More
Your papers, please: Texas Republican Randy Neugebauer of the House Financial Services committee asked the New York Fed for all of its communications pertaining to Libor with the 16 banks under investigation for manipulating interbank lending rates dated between August 2007 and July of this year.
Hey, big boy: Several groups of traders are Read More
Libor arrests: U.S. and European regulators are on the verge of arresting traders believed to have manipulated Libor and other interbank lending rates, Reuters reports. The arrests, and criminal prosecutions or plea agreements to follow, are largely separate from enforcement actions regulators are pursuing against individual banks.
Soft tactics: The Federal Reserve Bank of Read More
Why he did it: PFGBest Founder Russell R. Wasendorf, who was arrested last week on allegations that his futures brokerage was missing more than $200 million in client segregated funds, wrote that he misappropriated funds to meet increasingly stringent regulatory requirements, according to The Wall Street Journal. (Sort of like the Stuyvesant High Seniors Read More
Today was the day that suddenly everyone knew that Libor was rigged, always. Not municipalities which entered into credit default swaps, maybe—though in which case, who was giving them advice?—but nearly everyone else. And absolutely the Federal Reserve Bank of New York, which revealed in response to a congressional inquiry that a Barclays Read More
