Credit Suisse continued enabling tax evasion after 2014 settlement with DoJ, US Senate finds March 29, 2023 Credit Suisse violated a settlement agreement with the US Department of Justice as it continued to help wealthy Americans to avoid paying tax, a Senate investigation has alleged. The probe, which took two years to complete, accused the lender – which will shortly be taken over by UBS – of committing “major violations” following its [...]
‘Sink or swim’: Delayed update leaves UK’s £4bn open banking sector in limbo at critical moment March 29, 2023 The UK’s £4bn open banking sector faces a “sink or swim moment” as the industry awaits a crucial update on the future of the industry in the coming weeks, a lobby group has warned. Open banking, which was first rolled out by regulators in 2017 to force dominant high street lenders to open up their [...]
UK banks still ‘resilient’ but BoE warns of ‘urgent need’ to address less regulated areas of finance sector March 29, 2023 UK banks are “resilient” despite global banking turmoil, the Bank of England said today, but warned there was an “urgent need” for further rules in the less tightly regulated market-based finance sector. Amidst volatility in the financial sector following Silicon Valley Bank’s collapse and the emergency acquisition of Credit Suisse by UBS, the Bank reaffirmed [...]
JP Morgan’s Jamie Dimon to be deposed in Epstein case, plaintiffs’ lawyer says March 29, 2023 JP Morgan chief executive Jamie Dimon will be interviewed under oath in connection with the bank’s relationship with Jeffrey Epstein, the late sex offender and a former client, a lawyer involved in the litigation said on Tuesday. The deposition is expected to occur in early May, according to Brad Edwards, a lawyer representing women who [...]
Which is best? Star analyst forecasts, or forward guidance? March 29, 2023 BETTER to trust independent analysts or company bosses when it comes to forward guidance? It appears insiders really do know best. That’s according to a recent study from the University of New South Wales, which suggested so-called ‘star’ analysts – those picked out on the Institutional Investor All-American analyst team or the European Extel survey [...]
UBS re-appoints Sergio Ermotti as CEO saying he’s ‘ideally placed’ to steer through acquisition of Credit Suisse March 29, 2023 UBS has reappointed Sergio Ermotti as chief executive just weeks after the Swiss banking giant acquired its long-time rival Credit Suisse in a $2bn bail out. Emotti, who will replace the outgoing Ralph Hamers, was previously chief executive for nine years up to 2020, directing the bank in the aftermath of the financial crisis. Hamers [...]
ECB official slams ‘opaque’ CDS market after Deutsche Bank’s share price drop March 28, 2023 A top official at the European Central Bank (ECB) has slammed the “opaque” nature of the credit default swap (CDS) market, after a sharp jump in prices of Deutsche Bank’s CDS caused the lender’s shares to plummet last Friday. Responding to a question about the sudden drop in Duetsche’s share price last week, Andrea Enria, [...]
UK should not push through Edinburgh reforms, top banking expert warns March 28, 2023 The government should not relax financial sector regulations at a time when banks are already facing severe pressure, a senior banking expert has warned. John Vickers, former chair of the independent commission on banking, told City A.M. that “current events should put an end to any thoughts of rolling things back,” referring to the government’s [...]
HSBC, SocGen and BNP Paribas raided in France as part of ‘cum cum’ tax probe March 28, 2023 French authorities today raided the Paris offices of five major banks – including HSBC, BNP Paribas, and Société Générale – in relation to an ongoing fraud and money laundering investigation. In a statement, France’s national fraud prosecutor said the raids relate to a preliminary investigation into so-called ‘cum cum’ schemes, which was opened in December [...]
Andrew Bailey dismisses banking volatility as ‘testing out’ but stresses BoE remains ‘vigilant’ March 28, 2023 Andrew Bailey today dismissed recent volatility in the banking sector as “testing out” firms although he stressed that officials in the UK remained “very vigilant” for further signs of friction. Responding to a grilling by MPs on the treasury committee, the governor of the Bank of England said “there’s been quite sharp moves in markets [...]