This article is from the source 'independent' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.independent.co.uk/news/business/news/mark-johnson-guilty-hsbc-banker-fraud-case-trade-uk-energy-firm-a8015971.html
The article has changed 3 times. There is an RSS feed of changes available.
Version 1 | Version 2 |
---|---|
Mark Johnson guilty: Former HSBC banker convicted in $3.5bn fraud case | Mark Johnson guilty: Former HSBC banker convicted in $3.5bn fraud case |
(about 17 hours later) | |
A former HSBC banker has been found guilty by a US jury of defrauding a UK-headquartered energy firm in a $3.5bn (£2.7bn) currency trade. | |
Mark Johnson, who was HSBC's head of global cash foreign exchange trading, was found guilty on nine counts, in a court room in Brooklyn, New York. | Mark Johnson, who was HSBC's head of global cash foreign exchange trading, was found guilty on nine counts, in a court room in Brooklyn, New York. |
Mr Johnson, 51, was accused of exploiting confidential information from Cairn Energy in 2011 to "front run" the oil and gas firm in the currency markets, thus making an $8m profit for the bank at the expense of its client. | |
Jurors heard a tape of Mr Johnson saying "Oh, f*cking Christmas" on learning of Cairn's decision to proceed with the trade. | |
The verdict on Monday followed a month-long trial. | The verdict on Monday followed a month-long trial. |
Mr Johnson had been arrested by US federal agents at New York's Kennedy Airport in July 2016 as he was about to board a flight to the UK | |
He is the first banker to be tried in relation to currency rigging, a scandal that has seen global investment banks pay $10bn in regulatory fines. | He is the first banker to be tried in relation to currency rigging, a scandal that has seen global investment banks pay $10bn in regulatory fines. |
The Justice Department is also seeking the extradition of Johnson's former HSBC colleague and alleged co-conspirator Stuart Scott. | |
HSBC itself is in settlement talks with US regulators and the Justice Department over currency trading. | HSBC itself is in settlement talks with US regulators and the Justice Department over currency trading. |
"This sends a signal to traders and banks that this type of behaviour is absolutely inappropriate and will be pursued by the government," said Michael Weinstein, a former Justice Department attorney, quoted by Bloomberg. | "This sends a signal to traders and banks that this type of behaviour is absolutely inappropriate and will be pursued by the government," said Michael Weinstein, a former Justice Department attorney, quoted by Bloomberg. |
Former employees of JP Morgan, Barclays and Citigroup are also awaiting trial in Manhattan, accused of rigging currency markets in separate case. | Former employees of JP Morgan, Barclays and Citigroup are also awaiting trial in Manhattan, accused of rigging currency markets in separate case. |