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Lloyds fires two over 'rogue trader' scam
by Daniel Grote on Jan 14, 2013 at 07:42
Lloyds Banking Group has fired a ‘rogue trader’ who falsified trading record to hide loss-making positions, according to The Sunday Telegraph.
Lloyds dismissed Franck Kornmann, the head of hybrid foreign exchange and interest rate trading, last February, according to the paper, which said another member of staff had also been sacked.
Lloyds discovered ‘irregular’ trades in a portfolio of complex financial products that lost the bank £37 million in the last two years, according to the paper.
After discovering the scheme, Lloyds has since shut down the Kornmann’s trading desk. A spokesman for the bank told the paper: ‘We can confirm that an individual was dismissed in February 2012 from the group following an investigation.
‘This investigation was prompted by our own internal procedures which picked up certain irregularities that conflicted with our own policies and procedures. We notified the Financial Services Authority of the finding at the time.’
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iShares: Time to shatter the ETF myths
As result of industry changes - the retail distribution review - and a growing focus on cost-efficient solutions, we anticipate the number of investors using ETFs will rise significantly over the coming years.
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