Arab Today, arab today fraud office probes bank of england auctions
Last Updated : GMT 09:57:19
Arab Today, arab today
Arab Today, arab today

Fraud office probes Bank of England auctions

Arab Today, arab today

Arab Today, arab today Fraud office probes Bank of England auctions

Britain's Serious Fraud Office
London - AFP

Britain's Serious Fraud Office is investigating money-market auctions launched by the Bank of England during the financial crisis, the central bank has said, dealing another blow to the City's reputation.
The bank said that it had commissioned an inquiry into "liquidity auctions during the financial crisis in 2007 and 2008," and had referred the results to the Serious Fraud Office (SFO) in November.
"Given the SFO investigation is ongoing, it is not appropriate for the Bank to provide any additional comment on the matter at this time," the BoE said in a statement issued late Wednesday.
It is the first time that the central bank has been implicated in a criminal inquiry since the SFO was set up in 1987, while the development risks further damage to the City, the term used to describe London's banking sector.
Liquidity auctions are held by the central bank to ensure commercial banks are not left short of cash, a particular concern during the financial crisis when assets were written down and customers threatened to withdraw vast sums of money following the collapse of lender Northern Rock.
In the auctions, banks can bid to borrow the cash for varying lengths of time, secured by different types of collateral.
In November, Britain's Financial Times reported that the central bank was probing whether staff knew of or were involved in manipulating liquidity auctions.
The investigation by the SFO, a British government department that investigates and prosecutes complex fraud and corruption, comes in the wake of a scandal over the manipulation of exchange rates by currency dealers in major banks.
- 'Series of misjudgements' -
The SFO and the Financial Conduct Authority (FCA) have launched investigations into the alleged manipulation of the £3-trillion-a-day (4.6 trillion) forex market.
An internal inquiry to establish what BoE staff knew of the alleged fixing found a "series of misjudgements" by a senior member of staff, including the leaking of a confidential document and sending of inappropriate emails, governor Mark Carney told a parliamentary panel on Tuesday.
The BoE's chief currency dealer Martin Mallett was sacked after being found to have made at least 20 such errors, Carney said.
However, he declined to comment when asked about the liquidity auctions.
The chairman of parliament's Treasury Committee Andrew Tyrie said that the central bank was right to refer the findings of the liquidity auction investigation to the SFO.
"We must now await the outcome of the SFO's work," Tyrie said. "The sooner their findings are published, the better."
The BoE was also accused of involvement in the Libor scandal, which saw banks including Barclays, UBS, The Royal Bank of Scotland, Deutsche Bank and JP Morgan hit with huge fines for fixing the rates that they lent to each other during the crisis.
Bob Diamond, the chief executive of Barclays at the time, told lawmakers that BoE deputy governor Paul Tucker had encouraged Barclays to manipulate the rates downwards in order to keep money flowing between lenders.
Tucker strenuously denied the claims and three official reports cleared him of wrongdoing.
The battered reputation of Britain's financial sector has plunged even further recently as banks reveal ever more provisions for settling fines and allegations that HSBC helped clients avoid tax and that it hid money for suspected criminals.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today fraud office probes bank of england auctions Arab Today, arab today fraud office probes bank of england auctions

 



Arab Today, arab today
Arab Today, arab today Mohamed Bahari prepares new collection for spring 2017

GMT 06:15 2017 Monday ,27 February

Mohamed Bahari prepares new collection for spring 2017
Arab Today, arab today 17.4 million tourists visit UAE in 2016

GMT 00:47 2017 Monday ,27 February

17.4 million tourists visit UAE in 2016
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today UN envoy sets out framework

GMT 07:25 2017 Monday ,27 February

UN envoy sets out framework
Arab Today, arab today Kalam Nawaem made a difference in social issues

GMT 06:43 2017 Tuesday ,28 February

Kalam Nawaem made a difference in social issues
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Parliament considers solutions to overpopulation

GMT 20:27 2017 Monday ,27 February

Parliament considers solutions to overpopulation
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Aspires present the story of Egypt’s first president

GMT 06:18 2017 Sunday ,26 February

Aspires present the story of Egypt’s first president
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:42 2017 Saturday ,25 February

Reasons for the delay 'On the Stairs of Servants'

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 10:51 2017 Saturday ,25 February

Pigs with edited genes show resistance

GMT 14:04 2017 Friday ,24 February

Messi visit will contribute in tourism

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 06:28 2017 Tuesday ,28 February

Dumbphones survive rise of the smartphone

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday