Rogue Trader Bet $73B —Twice SocGen's Worth
(Newser)
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Maverick trader Jérôme Kerviel gambled with $73 billion, twice the market value of Société Générale, by stealing computer access codes and setting up fake email accounts, the French bank revealed as new details emerged in one of the biggest scandals in history. One executive also conceded that the "complicty" of others could not be ruled out. Kerviel cost the company $7.14 billion as his "virtual losing position became huge," said the head of the bank, who called the scandal a "Greek tragedy."
French detectives are now walking Kerviel through risky trade after risky trade, reports the Washington Post. He has been in custody since Saturday. "The investigation, led by the specialists of the financial police, is extremely fruitful," said a French prosecutor. The bank released more details as it came under heavy fire for concealing its losses for a week while disastrous positions were unraveled.
Sources:
Washington Post,
Reuters
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