By the Blouin News Business staff

Banksters’ rap sheet

by in U.S..

A bank teller displays 100 US dollar notes

‘Cos that is where the money is. Photo Credit: AFP/Getty Images

“We have to fix the culture of the banking industry,” Royal Bank of Scotland’s chairman Philip Hampton said on the announcement of $615 million in fines imposed on his bank in connection with the Libor interest-rate rigging scandal. Quite how much there is to fix is underlined by this rap sheet, based on information compiled by the Reuters news agency. It covers more than half a dozen banking scandals laid bare in the aftermath of the global financial crisis of 2008.

They are:

  • Libor: The suspected rigging of the London interbank offered rate (Libor), an interest rate used in contracts worth trillions of dollars globally;
  • Anti-sanctions: Illegally hiding transactions with Iran and other countries, violating U.S. sanctions;
  • Muni bond rigging: Conspiring to deceive U.S. cities and towns by operating a scheme to rig bids to invest municipal bond proceeds;
  • CDO: Collateralized debt obligation tied to the U.S. housing market;
  • RMBS offering: Misleading investors in the sale of risky mortgage bonds or residential mortgage-backed securities;
  • Enron: JP Morgan was fined for its role in the defunct Enron Corp’s manipulation of its financial statements;
  • Merrill: Bank of America was fined for failing to disclose properly employee bonuses and financial losses at Merrill Lynch before shareholders approved the companies’ merger in 2008.

The reckoning:

2012 HSBC 1,920 Money laundering lapses DOJ
2012 UBS 1,500 Libor manipulation DOJ
2009 UBS 780 Aiding tax fraud DOJ
2012 StanChart 667 Anti-sanctions OFAC/DOJ/MORE
2012 ING 619 Anti-sanctions OFAC
2013 RBS 615 Libor manipulation DOJ/FSA
2010 Goldman Sachs 550 Misleading investors FSA/SEC
2009 Credit Suisse 536 Anti-sanctions OFAC
2010 ABN Amro 500 Anti-sanctions OFAC
2012 Barclays 451 Libor manipulation DOJ/CFTC/FSA
2009 Lloyds 350 Anti-sanctions OFAC/DOJ
2010 Barclays 298 Anti-sanctions DOJ/OFAC
2012 JP Morgan 297 RMBS offering SEC
2011 Citi 285 Misleading CDO investors SEC
2011 JP Morgan 228 Muni bond rigging SEC
2011 UBS 160 Muni bond rigging SEC
2011 JP Morgan 154 Misleading investors SEC
2010 Bank of America 150 Disclosing Merrill bonuses SEC
2011 Wachovia 148 Muni bond rigging SEC
2010 Bank of America 137 Muni bond rigging SEC
2003 JP Morgan 135 Enron SEC
2012 Mizuho 128 Misleading CDO investors SEC
Key: DOJ: U.S. Department of Justice; OFAC: U.S. Office of Foreign Assets Control; FSA: U.K. Financial Services Authority; SEC: U.S. Securities and Exchange Commission