wheriz
Active+ Member
- Messages
- 3,164
- Joined
- Oct 30, 2006
- Messages
- 3,164
- Reaction score
- 172
- Points
- 33
January 26, 2008
Now come the questions. How did he do it? How come nobody noticed for so long? And where is he now? In London, James Button reports.
He IS 31 years old, a lowly paid employee, and said to be a loner. But in perpetrating the greatest banking fraud in history, could Jerome Kerviel really have acted alone?
It is just one of the questions haunting the world's money markets as they try to digest the impact of the 4.9 billion euro defrauding of Societe Generale, France's second-largest bank.
Financiers also want to know if the bank's desperate attempt to unravel Kerviel's trading positions provoked Monday's stockmarket turmoil, in which prices fell 7% across Europe. And why is Kerviel nowhere to be found?
On Friday last week, a control officer at the bank noticed something odd on the computer: a trade that exceeded the bank's limits.
A further check and a phone call revealed something far more shocking - the trade did not exist.
Working "24 hours out of 24" at the bank's Paris headquarters over the weekend, its shocked chairman, Daniel Bouton, and other bank chiefs discovered the fraud and its perpetrator.
What was most astonishing was that Kerviel had lost so much money using a basic and normally easily traceable product - "plain vanilla futures" - at a bank with a reputation for risk management that is second to none.
On Saturday Mr Bouton summoned Kerviel, who confessed to the fraud during a gruelling interrogation on Saturday night.
On Sunday, the bank sacked him then, inexplicably, let him walk out the door, a decision they now admit might have been a mistake.
Yet while Bank of France governor Christian Noyer said he had heard Kerviel was "on the run," Kerviel's lawyer, Elisabeth Meyer, said on Thursday the trader had been in her offices that week and was ready to face justice.
The crime was "totally irrational," said Mr Bouton. "Unbelievable," said Mr Noyer, who has opened an investigation. Groping for an explanation, he called Kerviel a "computer genius" and a "genius of fraud".
He is also "a fragile being without particular brilliance" and going through family difficulties, according to a bank human resources manager quoted by Agence France Presse.
In other reports, he had recently broken up with a girlfriend and may have been affected by a death in the family two years ago. A CV circulating in the City of London that appears to be Kerviel's states that he was also a children's judo teacher.
........
http://www.theage.com.au/news/world...2008/01/25/1201157674890.html?s_cid=rss_world
byk lagi ttg ni kalau rajin search..
Breaking news jugak la since Nick Leeson dari Baring Bank, England dulu.
The case dwarfs that of Nick Leeson, the original British "rogue trader" who lost $US1.5 billion at Barings, causing the failure of the venerable British bank in 1995. Leeson commented today that the international banking system "is as vulnerable as it was in my day".
Now come the questions. How did he do it? How come nobody noticed for so long? And where is he now? In London, James Button reports.
He IS 31 years old, a lowly paid employee, and said to be a loner. But in perpetrating the greatest banking fraud in history, could Jerome Kerviel really have acted alone?
It is just one of the questions haunting the world's money markets as they try to digest the impact of the 4.9 billion euro defrauding of Societe Generale, France's second-largest bank.
Financiers also want to know if the bank's desperate attempt to unravel Kerviel's trading positions provoked Monday's stockmarket turmoil, in which prices fell 7% across Europe. And why is Kerviel nowhere to be found?
On Friday last week, a control officer at the bank noticed something odd on the computer: a trade that exceeded the bank's limits.
A further check and a phone call revealed something far more shocking - the trade did not exist.
Working "24 hours out of 24" at the bank's Paris headquarters over the weekend, its shocked chairman, Daniel Bouton, and other bank chiefs discovered the fraud and its perpetrator.
What was most astonishing was that Kerviel had lost so much money using a basic and normally easily traceable product - "plain vanilla futures" - at a bank with a reputation for risk management that is second to none.
On Saturday Mr Bouton summoned Kerviel, who confessed to the fraud during a gruelling interrogation on Saturday night.
On Sunday, the bank sacked him then, inexplicably, let him walk out the door, a decision they now admit might have been a mistake.
Yet while Bank of France governor Christian Noyer said he had heard Kerviel was "on the run," Kerviel's lawyer, Elisabeth Meyer, said on Thursday the trader had been in her offices that week and was ready to face justice.
The crime was "totally irrational," said Mr Bouton. "Unbelievable," said Mr Noyer, who has opened an investigation. Groping for an explanation, he called Kerviel a "computer genius" and a "genius of fraud".
He is also "a fragile being without particular brilliance" and going through family difficulties, according to a bank human resources manager quoted by Agence France Presse.
In other reports, he had recently broken up with a girlfriend and may have been affected by a death in the family two years ago. A CV circulating in the City of London that appears to be Kerviel's states that he was also a children's judo teacher.
........
http://www.theage.com.au/news/world...2008/01/25/1201157674890.html?s_cid=rss_world
byk lagi ttg ni kalau rajin search..
Breaking news jugak la since Nick Leeson dari Baring Bank, England dulu.
The case dwarfs that of Nick Leeson, the original British "rogue trader" who lost $US1.5 billion at Barings, causing the failure of the venerable British bank in 1995. Leeson commented today that the international banking system "is as vulnerable as it was in my day".
Last edited:
