Urban75 Home About Offline BrixtonBuzz Contact

Global financial system implosion begins

Libor trio to face confiscation orders next month


"Three ex-Barclays bankers who were found guilty last year of Libor-rigging offences now face being stripped of their property when they return to court again next month.


When they were sentenced last July, it was also announced that Jonathan Mathew, Jay Merchant and Alex Pabon would face a confiscation hearing at a later date. City A.M. has learnt that the Serious Fraud Office has set the date for the hearing as 9 February.


Confiscation proceedings take place following a guilty verdict or plea, with their purpose being to take away any assets from defendants which are found to have been obtained as a result of their crime.


Julie Pabon, Alex's wife, slammed the fraud squad over their plans to bring the hearing, telling City A.M.: "It is just a further heartbreaking injustice that accomplishes nothing other than financially ruining our families."

boo fucking hoo


Had to go and look up other news pages about Pabon coz it is on the face of it WTF

Ex-Barclays Trader Tells Court of Obey or Be Fired Culture
Convicted Libor traders hit back at fraud squad boss

so may well have been an expendable patsy hung out to dry...but then you need a strong pour encourager les autres to help prevent it happening again
 
of course the LIBOR rate manipulation would have directly or indirectly ordered by someone higher up in order to bullshit the market that the bank was in rude health.This was a srategic decision that a trader would not have made alone. but there were complicit in the scam without doubt.bleating that they were following orders is no defence for financial crime - the onus is soley on them to prove they are wholly innocent.
 
of course the LIBOR rate manipulation would have directly or indirectly ordered by someone higher up in order to bullshit the market that the bank was in rude health.This was a srategic decision that a trader would not have made alone. but there were complicit in the scam without doubt.bleating that they were following orders is no defence for financial crime - the onus is soley on them to prove they are wholly innocent.

the following orders or be sacked bit...it makes sense to make examples so employees are aware of the horror story and can develop more backbone. But I can get the sense of injustice if it was the SFO going someone needs to go under a bus tell us who you want - if you were the manipulated firebreak when presumably others we'd consider more culpable are sat in Barclays unscaythed
 
I know what you are saying, but for a decade at least -more like 2 - it has been drilled into every front or midle office banker that it is not enought to not have express knowledge of wrongdoing- it is enough for you as a registered or licenced individual are responsible if you failed to pick up on something that is within your remit and you should have been aware of. its pretty unique in legal terms IIRC.i am sure i would also be aggrieved if i were facing a 10 stretch and confiscation of my aston martin etc

obviously it doesnt help that the interchange of employment opportunities between the regulators and banks is remarkably high. i have no doubt that these mugs were taken to task as the end product of a very discreet exchange of information between the regulator, teh bank senior management and the BoE.After all, the aim of the process is to ensure that the system survives.
 
I wonder if this stuff is systemic or this is just a 'bad apple'. 1MDB: The inside story of the world’s biggest financial scandal | Randeep Ramesh
Thanks for the link. It's not the world's biggest financial scandal. Enron, Lehman Brothers, Bernard Madoff were all bigger.

It's not a bug it's a feature. They financed the Wolf of Wall Street?

Tony Blair was also involved with the companies in the 1MDB scandal. And they worried about his companies being opaque.

Tony Blair: the former PM for hire
Thursday 28 April 2016
Tarek Obaid and Blair did meet privately in early July 2010, and apparently discussed a working relationship. A month later Blair’s company was on a retainer fee of $65,000 and a “success fee equal to 2%” of any deal that TBA brought to the company – which PetroSaudi admitted could “potentially be a very large sum”.
KL-Abu Dhabi talks over missing 1MDB funds 'break down'
StraitTimes Jan 22, 2017 (original WSJ behind paywall)
ABU DHABI • Negotiations between government investment funds in Malaysia and Abu Dhabi over billions of dollars in missing funds have broken down, the Wall Street Journal (WSJ) has reported, quoting people familiar with the matter.

The breakdown in talks will make it harder for the two funds to put the scandal behind them, the business newspaper said last Friday.

"Given the fact that the issue was escalated by Malaysia from a commercial process to a government- to-government interaction that has now floundered, there is a strong possibility that the negative consequences of the issue will live at a government-to-government level," an Abu Dhabi official told the WSJ.
The matter revolves around nearly US$6.5 billion (S$9.2 billion) that Abu Dhabi's sovereign wealth fund International Petroleum Investment Company (IPIC) and its unit Aabar Investments PJS want to recover from state fund 1Malaysia Development Berhad (1MDB).

Malaysia said it has paid out a big chunk of the debts but IPIC said it hasn't received them.

Malaysia's parliamentary Public Accounts Committee concluded last April after its probe that some US$3.5 billion had disappeared into a company based in the British Virgin Islands (BVI) that has since been closed, called Aabar Investments PJS Ltd. IPIC and Aabar Investments PJS have said they do not own the BVI company.
The US Department of Justice (DOJ) in civil suits last July said some US$3.5 billion was siphoned from 1MDB to buy assets including homes in New York and London, expensive art work, a luxury jet and to fund the movie Wolf Of Wall Street by Mr Low Taek Jho, a former adviser of Malaysian Prime Minister Najib Razak, as well as the political leader's stepson Riza Aziz.

The third person named by the DOJ was Khadem Al Qubaisi, a United Arab Emirates national who was managing director of IPIC and chairman of Aabar Investments PJS.

Mr Al Qubaisi and another executive who helped set up the BVI-based company were arrested in Abu Dhabi last year, the WSJ said, but have not been charged with a crime.

On the breakdown in talks, a senior Abu Dhabi government official told the WSJ that the emirate had negotiated in good faith after a request from Malaysia to resolve the dispute by the end of last year, but "that good faith dissipated when the new year began and there had been no material progress on any repayment".
 
Doomsday Prep for the Super-Rich
New Yorker January 30, 2017 Issue
One measure of survivalism’s spread is that some people are starting to speak out against it. Max Levchin, a founder of PayPal and of Affirm, a lending startup, told me, “It’s one of the few things about Silicon Valley that I actively dislike—the sense that we are superior giants who move the needle and, even if it’s our own failure, must be spared.”

To Levchin, prepping for survival is a moral miscalculation; he prefers to “shut down party conversations” on the topic. “I typically ask people, ‘So you’re worried about the pitchforks. How much money have you donated to your local homeless shelter?’ This connects the most, in my mind, to the realities of the income gap. All the other forms of fear that people bring up are artificial.” In his view, this is the time to invest in solutions, not escape. “At the moment, we’re actually at a relatively benign point of the economy. When the economy heads south, you will have a bunch of people that are in really bad shape. What do we expect then?”
On the opposite side of the country, similar awkward conversations have been unfolding in some financial circles. Robert H. Dugger worked as a lobbyist for the financial industry before he became a partner at the global hedge fund Tudor Investment Corporation, in 1993. After seventeen years, he retired to focus on philanthropy and his investments. “Anyone who’s in this community knows people who are worried that America is heading toward something like the Russian Revolution,” he told me recently.
Élite anxiety cuts across political lines. Even financiers who supported Trump for President, hoping that he would cut taxes and regulations, have been unnerved at the ways his insurgent campaign seems to have hastened a collapse of respect for established institutions. Dugger said, “The media is under attack now. They wonder, Is the court system next? Do we go from ‘fake news’ to ‘fake evidence’? For people whose existence depends on enforceable contracts, this is life or death.”

The Dying Days of Liberalism
How Orthodoxy, Professionalism, and Unresponsive Politics Finally Doomed a 19th-century Project
zeroanthropology 18/01/17
What a sight to behold. These are the dying days, counting down soon to the final hours, of the defeated political project of liberalism, inherited from the 19th-century. The centre—if there ever was one—could not hold after all. What a thing it is to watch one of the dominant, cornerstone ideologies of the international system, which has strutted its stuff with such swagger and certainty since the end of the Cold War, finally fall face forward into the dustbin of history. It has fallen with the same force as if shoved from behind by a stampeding mob, although its defenders will claim that mere “mistakes” were made, as if they accidentally slipped on history’s largest ever banana peel. And what a scene: who would have expected such a lack of dignity, such pathetic hysteria, such baseless smears, such empty threats, coming from those who otherwise elaborately preened themselves as gallant statesmen, who spoke as if they had cornered the market on “reason”. While the fall could have been worse, there has not been an absence of violence, threats, boycotts, and even calls of treason designed to delegitimize the voters’ choice.

Liberal democracy has been reduced to a shell, more a name than a fact that deserves the name. For many years, liberalism has been liberal authoritarianism or post-liberalism or neoliberalism, with a high elitist disdain for democracy and a fear of the masses everywhere. Promises of inclusion, fairness, and welfare, were replaced by sensitive-sounding rhetorical tricks and tokenism. Moral narcissism, virtue signalling, identity politics, and building patchwork quilts of diversity were the order of the day. Protests were encouraged abroad, against target nations, in the name of democracy promotion—but at home, protests were shut down by an always more militarized police. Nations around the world were lectured about transparency and accountability, but at home it was all about mass surveillance, domestic espionage, and a crackdown on whistleblowers.
 
Beijing Is Sending Shudders Through Global Housing Markets

could be a hiccup but China is taking capital outflow seriously and it impacts speculative overseas purchase ( Blocks of bullion in the sky). The furiously competitive and overcooked Australian market is weakening as overseas buyers back off and the mining boom continues to tail off in the peripheral areas. The periphery is always an interesting perspective on sentiment .

"At The Spire in London, a 67-story tower with sweeping views of the River Thames and flats starting at 595,000 pounds ($751,901), prospective buyers were caught off guard by the new rules. Less than 70 percent of clients who signed purchase contracts last year have made their initial payments, with the rest now facing “problems,’’ a press official at Greenland Holdings Corp., the project’s Shanghai-based developer, said on Jan. 12. The official asked not to be named, citing company policy."

I have been looking into Housing and shit of late and am seeing signs of silliness going on in the USA, where churning houses for quick profit seems to have become an obsession - next time you
are in the states have a look at the plethora of house flipping programmes that infest daytime telly - they make homes under the hammer look like the South Bank Show. Combine this with the storage hunters onslaught ,and it easy to take away the impression that there is no long term plan for many- its all now, now , now .

House flipping is on the rebound — and that’s not good for everyone

"Flipping, defined as the sale of a home at least twice within a year, made up 6.1% of all home sales in 2016, up from 5.3% the previous year and the highest level since 2006, real estate research firm Trulia says in a new report.
The trend at least partly signifies rising prices that are attracting investors. The National Association of Realtors said Tuesday the median existing home price rose 4% last year, while the S&P CoreLogic Case-Shiller national index has shown slightly faster increases."


The top markets were Las Vegas, with flips making up 10.5% of all sales, followed by Daytona Beach, Fla., at 9%; Tampa, at 8.4%; and Memphis and Fresno, Calif., both at 8.2%".

may be nothing but worth keeping an eye on - especially the locations - these have popped up before with the lead into the last financial crisis- where the volatilty of the market is always exaggerated

Of course this may be fuck all
 
Can't read that properly hot air baboon. My eyesight ain't great. Get the gist though.

The European project is doomed. God help us all.
 
Just had a preminition dream..i know a bit flaky..but the stock market Dow jones headline rate was 708 points.

It maybe some way off in future the number jumped off the page.
 
it would be fucking great if Italy left the Euro in macro terms but the only people willing to pull that trigger are unfortunately a terrible shower of cunts - not that the people who aren't willing to pull the trigger are any good either, mind, but five star and lega? that way lies fascism.
 
Greece has been fucked for years. IMF and ECB making a lesson of them. France and Italy are the ones to watch.
I think Greece finally bumping out of the euro and I presume defaulting on some debts in the process would have a not insignificant effect... Though yeah, Italy and France too... It's all like, interconnected,man...
 
As much as you get people here sarcastically posting about the thread title, 9 years on and there are still an alarming number of financial institutions that have never woken from their comas whilst even the healthiest have pox scars
Yeah not to mention the trillions of dollars worth of public debt quantitative easing created to bail out the banks and other financial institutions.

Former IMF chief gets four years in jail for embezzlement in Spain
23/02/17
The former International Monetary Fund chief Rodrigo Rato has been sentenced to four-and-a-half years in prison for misusing corporate credit cards while in charge of two leading Spanish banks at the height of the country’s financial crisis.

Rato, also a former a Spanish economy minister and deputy prime minister, was found guilty on Thursday of embezzlement, at the end of a five-month trial at Spain’s national court.
He had been on trial with 64 other former executives and board members at Caja Madrid and Bankia banks, whose near collapse sparked an EU bailout of Spain’s financial sector.

The defendants had been accused of spending a total of of €12m (£10.5m) between 2003 and 2012, using “black credit cards” to pay for hotels, parties and luxury goods. Prosecutors had claimed the executives used the cards issued to them by Caja Madrid and Bankia without justifying them or declaring them to tax authorities.
Posted this on the Spanish political news thread. May as well go here too.
 
As much as you get people here sarcastically posting about the thread title, 9 years on and there are still an alarming number of financial institutions that have never woken from their comas whilst even the healthiest have pox scars

You may be right but define "an alarming number". What is the baseline here? What is the usual number of banks in trouble/posting big losses? It appears to me that getting information about the overall state of banks and other financial institutions is not easy.
 
Does anyone think we should ditch this thread? The powers that be aren't going to allow a short term catastrophic global meltdown because they'd be hung from lamp posts. They've kicked the can way down the road. It's a bit embarrassing seeing the title 9 years later. As a new title to address the issue how about '2025. How do we get through the ex-police/military private security contractors lines to get access to clean drinking water or do we just starve them out (i think they're out of ammo)?'.
 
You may be right but define "an alarming number". What is the baseline here? What is the usual number of banks in trouble/posting big losses? It appears to me that getting information about the overall state of banks and other financial institutions is not easy.
In last couple of months wobbles from 3 European bans alone. Look at the wiki List of banking crises - Wikipedia and we've getting a centuries worth of crises in the last years. And they haven't stopped coming, and it still stems from there behaviour back in the day. More over the can kicks are going less and less far.
 
Back
Top Bottom