Tuesday, October 7, 2014

The Criminalization Of Banking

This article describes another criminal scheme that required collusion among the largest banks in the world.  The colluded in the huge foreign exchange market to skim a fraction off of currency trades.  The Justice Department is using emails between traders to press criminal charges against the traders who worked together to manipulate the prices on currency trades.  This is one many schemes that required traders at large banks to collude.  The traders earned larger bonuses by colluding, but they also contributed bank profits and executive bonuses.  Bankers pay tribute to free market capitalism but they prefer a different system that allows them to earn monopoly profits.  The top executives must know what its traders are doing but they are immune from prosecution. 

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