Deutsche puts FX sales director in London on leave: source
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[April 01, 2014]
By Jamie McGeever
(Reuters) — Deutsche Bank AG, the world's largest currency trader,
has placed on leave a director of institutional foreign exchange
sales as part of an internal investigation into potential exchange
rate manipulation, a source familiar with the matter said on Monday.
Kai Lew, based in London and responsible for central bank FX
business at the German lender, was placed on leave earlier this
month, the source said.
She is the first woman among some 30 currency traders at several big
banks to be placed on leave, suspended or fired as a result of the
ongoing global probe into alleged wrongdoing in the $5.3
trillion-a-day market, the world's largest.
There is no evidence of wrongdoing.
A spokeswoman for Deutsche declined to comment, referring Reuters to
a previous statement from the bank that read: "Deutsche Bank has
received requests for information from regulatory authorities that
are investigating trading in the foreign exchange market. The bank
is cooperating with those investigations, and will take disciplinary
action with regards to individuals if merited."
Lew could not be immediately reached for comment.
Lew joined Deutsche in February 2006 from Goldman Sachs, where she
had been for six years in London, Hong Kong and Singapore, according
to her LinkedIn page.
This news comes on the same day Swiss and British regulators stepped
up their scrutiny of alleged manipulation of FX markets.
Switzerland's competition commission WEKO said it formally opened an
investigation into several Swiss, British and U.S. banks including
JP Morgan, Barclays and Citi.
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The UK Financial Conduct Authority (FCA), meanwhile, said it will
assess if banks have cut the risk of traders manipulating benchmark
rates in the coming year, to see if lessons have been learned from
the scandal over benchmark rate rigging.
Last week Swiss bank UBS AG, the world's fourth largest FX bank,
suspended up to six currency traders in the United States, Zurich
Deutsche Bank and UBS together see around a quarter of the $5.3
trillion that flows through the global market on an average day,
according to the latest Euromoney poll.
(Reporting by Jamie McGeever; editing by Toby Chopra)
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