Carousel fraud, also called missing-trader fraud, involves bogus traders buying pollution permits in the EU emissions trading scheme in one country without paying VAT.
For more than a decade, the guidelines have warned that historic rate rollovers could be used to help a trader commit fraud.
MARK SCOTT TRIAL POSTPONED The case of Kweku M. Adoboli, left, the former UBS trader facing fraud charges related to a $2.3 billion loss, was postponed by a month on Tuesday after his new lawyer said Mr. Adoboli needed more legal advice.
US authorities have charged two JP Morgan Chase traders with fraud in connection to the $6.2bn "London whale" trading losses.
Kweku Adoboli, a former UBS trader accused of fraud and false accounting related to a $2.3 billion loss, is to appear in court in London.
[Page A1.] Trader Indicted on Fraud Charges John M. Rusnak, left, the currency trader at Allfirst Financial whose losses cost Allied Irish Banks $691 million, has been indicted for bank fraud and for making false financial entries.
LONDON – Kweku M. Adoboli, the former UBS trader charged with fraud, had his case referred to a higher court Thursday as the prosecution revealed more details about how the Swiss bank discovered a $2.3 billion trading loss.
FORMER JEFFERIES TRADER CHARGED WITH FRAUD | Federal prosecutors on Monday charged Jesse C. Litvak, a former senior trader at the Jefferies Group, with defrauding clients and the government while selling them mortgage-backed securities after the financial crisis, DealBook's Peter Lattman reports.
LONDON — A London judge ruled on Tuesday that Kweku M. Adoboli, a former UBS trader charged with fraud, could have an additional four weeks to look at evidence and get legal advice before entering a plea in a case that grew out of a $2.3 billion trading loss at the Swiss bank.
Still, the sophisticated computer models that banks use to crunch data have limits; a model is only as good as the inputs it gets.So far, the market seems to have absorbed the shocks from Amaranth and Refco, a futures trader where accounting fraud was uncovered last year.
