Thursday, 28 June 2012

Public Victim Of More Bank Fraud

As if we need any more reasons to string up a banker by their testicles on every lamp post in the country, along comes news that at the height of the bailouts, Barclays Bank was fiddling the interest rates to pay themselves even higher bonuses.
Now they have been fined £290 million by the Financial Services Authority who said that Barclays was working with traders at other banks to make a profit which means that they were all at it. Royal Bank of Scotland, Lloyds, and HSBC are said to be helping the FSA with their enquiries
Barclays Chief Executive, Bob Diamond, said the actions 'fell well short of standards' and as a punishment, rather than face fraud charges, he will give up this years £2.7 million bonus, which considering his annual salary is £23m means he won't be forced to tighten his belt anytime soon.
Barclays' misconduct relates to the daily setting of the London Interbank Offered Rate (Libor) and the Euro Interbank Offered Rate (Euribor) which are two of the most important interest rates in the global financial markets and directly influences the value of loans and mortgages and saving rates to the banks customers.
£3.7bn was been wiped off the value of Barclays as it's value slumped 17% and George Osborne called the scandal 'shocking', the same George Osborne who argued that Gordon Browns banking regulation were too tight and needed de-regulating.
Without doubt the whole financial sector is riddled with corruption, and as the financial sector have been bankrolling the present Government it makes your head spin just how far the corruption goes into the seat of power. It was only last month that the Prime Minister was found to be available for a meeting with these same heads of business if the donation to his party was large enough.
We are continually told that the public sector is the bad guy costing us billions but it is plain that it is the so-called heroes of the private sector who are responsible for the mess and it is them who should be vilified.
Nothing that i have seen has shown that unfettered Capitalism works unless you are one of those at the top where you can rip off the public, bring down countries and wreck the lives of billions and just have to forgo a couple of million pounds bonus when you get caught.
I just hope that the way is made clear for anyone who has had a Barclays loan or a mortgage over the last couple of years can sue them for compensation as that would really hit them where it hurts most and if they go bust, good riddance because would we really be any worse off if half of these vile institutions ceased to exist?


david g said...

When power and profit rather than caring and sharing became the raison de etre of the human world, it took a gigantic step backwards.

It allowed a tiny group of money-grubbers and psychos to get into powerful positions and run the world to suit themselves and it destined the bulk of the world's people to struggle street while the rich enjoyed a luxurious lifestyle.

We need a world-wide revolution, one that will get rid of the current crop of Predators and Parasites and replace them with people who value equality, honesty, and a fair go for all!

Great post, Lucy!

Lucy said...

Welcome back David. Yep, 100% with you, it is all about the profit and they will do anything to get it and screw over anyone in order to get it.