Bank of England governor faces grilling from MPs over forex rigging - New Bank Scandal

by Guest Tue Mar 11, 2014 9:39 am

Bank of England governor faces grilling from MPs over forex rigging
Governor Mark Carney will be quizzed by the Treasury Committee this morning over investigations into whether traders fixed the foreign exchange markets.

What exactly did the Bank of England know about the possible rigging of the foreign exchange markets? And why didn’t it act faster when allegations first surfaced that traders had conspired to fix the official forex rates?

These question will be on the lips of the Treasury Committee this morning, when they tackle governor Mark Carney over the latest scandal to rock the City.

The committee will also be quizzing Carney and colleagues over the latest inflation report, and the monetary implications of Scottish independence, in what looks like a mammoth session.

The Bank of England has been dragged deep into the Forex row this month, amid speculation that its own officials had condoned the manipulation of foreign exchange prices.

The Bank suspending an employee last week, and released details of minutes held with foreign exchange traders over many years. They showed that the possibility that the market was fixed could have been discussed as long ago as 2006.

Carney, who only joined the Bank last July, should expect to be challenged over his efforts to modernise the Bank.

Carney will be under pressure to explain to Andrew Tyrie, the committee’s chairman, why it took the Bank so long to act after allegations in October against two of its officials.

Last week, Tyrie said the Bank needed “a board worthy of the name”, adding that the revelations had exposed a “byzantine” governance structure.

Andrew Love, a committee member said: “We will be asking the governor what steps he is taking to bring management arrangements and committee structure up to the standards of the 21st century.”

http://www.theguardian.com/business/2014/mar/11/bank-of-england-governor-grilling-forex-rigging-scandal-co-op-boss-live?view=desktop#block-531eb878e4b0ad30365aef18

Fixed the Foreign Exchange Rates??????????? WTF!!!!! The impact that has on business for buying and selling, and for personal foreign travel etc is huge.