Barclays fined for handling of gold prices

[Omaha Steve]

Source: AP-EXCITE

LONDON (AP) — Barclays Bank has been fined by British regulators for management failings that allowed an employee to make inappropriate trades in the gold market.

The Financial Conduct Authority imposed a 26 million pound ($43.7 million) fine on Friday.

The regulator cited actions taken on June 28, 2012 when an individual trader "exploited the weaknesses in Barclays' system" to influence the gold fixing prices and profit at a customer's expense.

FULL short story at link.


Read more: http://apnews.excite.com/article/20140523/britain-barclays_fine-8f43cac13d.html

[PumpkinAle]

1. And this fine will be nothing to them.

But at least they did have to answer.

[leftyohiolib]

2. our government using the threat of the justice system to extort money from the criminals

isnt that blackmail or extortion. if my neighbor tells me he just robbed a bank and i said well give me a percetage or i'll involve the jusice system wouldnt that land me in jail?

[justhanginon]

3. I was just wondering if the fines imposed

were in any way relative to the profits made from the illegal activity. If they profited ten million and are fined just 5 million that means they made 5 million on the deal and can probably write off the fine as a business expense increasing their net profit even more. Since the morality of breaking the law obviously does not come into play, as a straight business decision it probably makes sense and certainly would not act as a deterrent which would be the purpose of the fine.