Debt Rattle Feb 8 2014: A Third Dimension In Fraud
by Raúl Ilargi Meijer
February 8, 2014
The scope of fraud, corruption and manipulation, as carried out throughout the financial industry in the past decade (and beyond), is not only deepening and widening as details become available. A third dimension is also coming to the forefront: the active contribution of regulators like the Bank of England (and undoubtedly other central banks, since, as Tyler Durden says: “there is never just one cockroach”) in enabling fraud in currency markets.
That the latest and strongest suspicion of involvement of the BOE in fraudulent behavior dates back to one particular meeting that took place less than two years ago(!), as the crisis was in its fifth year, and scores of banks had already been bought out and bailed out at the cost of a hefty cluster of trillions of dollars in taxpayer funds, including those banks the BOE aided and abetted in committing their fraud, should serve as a red hot warning sign.
It’s one thing to use the fact that the issues at hand are complicated and time-consuming, as an excuse for lengthy investigations. It’s quite another to be an active and integral part of corruption when such investigations into past crimes are ongoing.
That the process of truth finding is left in the hands of – to quite en extent – Bloomberg is yet another severe indictment against all regulators in and around the world’s financial centers, as well as the governments that nominate and appoint them. The picture that emerges is of a financial world in which people, both bankers and regulators, find it obvious that they are above the law. And why shouldn’t the former think so, when the latter tell them it’s fine to manipulate benchmark rates by conferring with “competitors”? Regulators are supposed to represent the law, and why would a banker attempt to be holier than the Pope?