U.S. Federal Reserves fines BNP Paribas $246 million for foreign exchange fixing

The Federal Reserve announced Monday it was fining BNP Paribas (BNPP.PA) $246 million for “unsafe and unsound” practices in its foreign exchange markets.

The regulator said it found deficiencies in the bank’s oversight and internal controls of its traders, and in particular failed to detect and address those traders use of electronic chatrooms to talk with competitors about trading positions.

The fine marks the latest action taken by the U.S. central bank as part of a long-running crackdown on price-fixing across foreign exchange markets, in which several banks have already pleaded guilty to conspiring to manipulate currency prices.

In January, the Fed permanently barred one of the bank’s former traders, Jason Katz, from participating in the industry in the future over manipulation of FX prices. The Fed also is barring the bank from re-hiring any of the people involved in the activity that led to the fines.

Katz, who also spent time at Barclays, pleaded guilty to participating in a price-fixing conspiracy in January.

In addition to the fine, the Fed ordered BNP Paribas to overhaul how its senior management conducts oversight, and heighten controls on its FX trading.

Reuters

 
 
 
RECOMMENDED ARTICLE

When lion lies down with the little lamb

When lion lies down with the little lamb
READ MORE >
 
 
US

iPhone manufacturer, Foxconn, to create 13,000 American jobs as Trump promotes ‘Made in USA’

iPhone manufacturer, Foxconn, to create 13,000 American jobs as Trump promotes ‘Made in USA’
Foxconn, the largest contract electronics maker in the world, has decided to invest $10 billion to build a ...
READ MORE >
 

US general: North Korea ICBM threat advancing faster than expected

US general: North Korea ICBM threat advancing faster than expected
WASHINGTON - U.S. General Mark Milley, the chief of staff of the Army, said on Thursday that North ...
READ MORE >
 

Amazon CEO Jeff Bezos becomes world’s richest man, surpassing Bill Gates

Amazon CEO Jeff Bezos becomes world’s richest man, surpassing Bill Gates
Jeff Bezos became the world's richest man on Thursday morning, July 27, following a surge in Amazon.com Inc. ...
READ MORE >
 

Hackers Selling Access to Critical Infrastructure on Darknet

Hackers Selling Access to Critical Infrastructure on Darknet
Cyber mercenaries are breaching the systems of governments, financial institutions, critical infrastructure, and businesses, then selling access to ...
READ MORE >
 

Orangutan makes trade with a human in the zoo

Orangutan makes trade with a human in the zoo
I assure you that when you'll see the orangutan in this video making a trade with a human, ...
READ MORE >