The wave of trader suspensions by major banks continues as investigations into alleged manipulation of the $5 trillion foreign exchange market continue. The latest lenders that have decided to leave some of their specialist currency traders at home (paid) are Barclays and Royal Bank of Scotland. The Wall Street Journal writes it.
The English and Scottish banks, which are cooperating with the competent authorities, have suspended six and two people respectively. This week, Switzerland's UBS also said it had made decisions regarding its personal her.
In addition, a senior Standard Chartered trader, Matt Gardiner, has been suspended. He has just joined the group from UBS, where he had worked for two years. Also in recent days, the WSJ reported that the man in charge of Citigroup's European spot foreign-exchange trading, Rohan Ramchandani, has been asked to take a paid break. Same fate also for Richard Usher of JP Morgan Chase.
The investigations into the alleged manipulation of currency exchanges began in April when the English Financial Conduct Authority began to shed light on the London square, the largest hub in the world for foreign-exchange from which 41% of global assets pass . The British authority has been joined, among others, by those of the United States, Switzerland and Hong Kong.
The investigations focus on the close ties between traders belonging to various banks. For this reason, the messages of the so-called chat rooms have been sifted, which are called among the insiders 'The Club', 'The Bandits' Club' (the bandits' club), 'The Dream Team' (the dream team) and 'The Cartel' (the cartel).
