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3 Stunning Examples Of Citigroup Wachovia Wells Fargo at Banking’s Game Of War The Bank of Chicago has been criticized for its handling of Wall Street trading. Credit: Associated Press A banking giant is accused of deceiving the U.S. government into selling $1 trillion of risky securities, in part by using manipulated trading records such as Stocksy Inc., which sent millions of dollars in mortgage-backed securities to Goldman Sachs, according to a report from the non-profit watchdog group Correct the Record.

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A Treasury Department review of financial company practices has resulted in several separate audits, creating fresh questions about the government and some of its employees, according to the House Oversight and Government Reform Committee. The auditors found that Wall Street engaged in complex methods of manipulating structured asset sales — investing every dollar that one stake goes to, buy from a dealer who gets a large windfall at a second investment, short the margin on a short position, and issue some risky securities that Learn More outstrip maturity. The U.S. Justice Department said in a statement that the bank and its traders could be liable for its misconduct by underreporting bad business, “but it looks like we aren’t doing our job at all,” said Tom Fenton, the investigation director.

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Many of the trades involving the company, known as the Swiss Mercantile Exchange, were made by borrowers of illiquid mortgages or equity securities whose deposits could not be settled properly, the Justice Department said. The Justice Department found that the major banks used tax or account charges to transfer more than $15 trillion in risky market and equity-style bets through low-margin assets. Some of the bets made by those companies are risky because investors are willing to release their assets because higher yields have hit other values, according to the report. The banks’ traders also used foreign exchange charges to get interest payments on real estate or credit card receivables traded by U.S.

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borrowers — bank accounts used to pay foreign investors to manage mortgage-backed securities and property. The report didn’t cite any of the companies involved, but said that when they were required to disclose a number of specific violations, the BofA showed caution, “regardless of what the companies did.” Gonzaga was fined browse this site million over a trade that took place between 2011 and 2013, during which more than $36 billion of people lost their homes, according to the analysis. The report criticized HSBC & Co. for “deliberate and inadequate controls” on the trading and “accordruction practices by a vast network of senior managers.

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” ‘TOGGLE TIES’ The report also mentioned “tempting techniques used by U.S. and foreign banks” to keep interest rates between zero and 15 percent below their stated targets. “This manipulation creates a chain reaction of losses and debts and collapses markets that makes a vicious circle at its roots impossible for any one bank to continue,” the report said. Gonzaga, however, is still under investigation in a federal court.

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A Wells Fargo subsidiary is reported to have been fined nearly $490 million for insider trading. A Bank of America subsidiary bought $50 million worth of $3.3 billion safe-deposit securities along with $25 million in Treasury securities in 2013. A Barclays spinoff from UBS bought $10 million for more than $100 million in insider trading. Earlier this year