JPMorgan in FX Fraud Banking ‘Cartel’ Choked by EU with Staggering €1 Billion Fine
JP Morgan Chase is caught red-handed in a sweeping foreign exchange spot trading scandal. | Source: REUTERS/Larry Downing
By CCN: European Union regulators fine five major banks including JPMorgan – the biggest bank in the US – for taking part in spot foreign exchange (FX) trading cartels. The regulators found price fixing for all major currency areas including the US, Europe, and Australasia. In total, 11 currencies were included in the scam, including the most traded pairs for the Dollar, Euro, Pound, and the Yen.
We fine Barclays, RBS, Citigroup, JPMorgan and MUFG €1.07 billion for participating in foreign exchange spot trading cartel.
The behaviour of these banks undermined the integrity of the sector at the expense of the European economy and consumers.
→ https://t.co/xoqoysAQEp pic.twitter.com/r1hn7vU71l
— European Commission 🇪🇺 (@EU_Commission) May 16, 2019
Danish commissioner for competition policy at the EU, Margrethe Vestager, had the following to say:
Today we have fined Barclays, The Royal Bank of Scotland, Citigroup, JPMorgan and MUFG Bank and these cartel decisions send a clear message that the Commission will not tolerate collusive behaviour in any sector of the financial markets. The behaviour of these banks undermined the integrity of the sector at the expense of the European economy and consumers”.
In two distinct settlements, the Commission found evidence of collusion in separate groups code-named “The Three Way Banana Split” and “The Essex Express”. The humorous names relate to chatroom’s established by several professional traders from separate banks who knew each other in a personal capacity.