South Korea probes forex market rigging by global banks
After reports that Barclays, Bank of America, Citigroup, JP Morgan Chase, Royal Bank of Scotland and UBS were under investigation for forex rigging, South Korea lauched a probe to assess the damage to its firms.business Updated: Jun 17, 2015 11:45 IST
South Korea's anti-trust watchdog said Wednesday it has launched a probe into alleged foreign-exchange market rigging by global banks, following a report that six lenders were under investigation.
"A probe has been launched" into how alleged foreign currency price fixing by international banks may have hurt South Korean firms, a Fair Trade Commission official told AFP, declining to disclose details.
The Seoul Economic Daily said Wednesday that Barclays, Bank of America, Citigroup, JP Morgan Chase, Royal Bank of Scotland and UBS were under investigation. The commission is probing whether manipulation of the price of US dollars and euros, and of derivatives markets, damaged South Korean financial institutions and firms, the newspaper said.
Last month US and British regulators fined six major global bank; Barclays, JPMorgan Chase, Citicorp, Royal Bank of Scotland, UBS and Bank of America; a total of nearly $6 billion between them for rigging foreign exchange market and Libor interest rates.
Also in May South Africa's competition watchdog opened an investigation into foreign currency price fixing by Citigroup, Barclays, and other banks.