Sick to the stomach.
The day after Barclays was lashed with a record fine for manipulating interest rates, a gold trader at the bank cheated a client and artificially suppressed the price of one of the world’s most widely traded metals.
Bloomberg News reports that on the evening of June 27, 2012 - the same day U.S. and U.K. regulators fined Barclays $488m for manipulating the London interbank offered rate, or Libor - Daniel Plunkett e-mailed colleagues to say he hoped for a 'mini puke to 1,558' the next afternoon, meaning a drop in the gold price.
Plunkett got that by manipulating the fixing, avoiding a $3.9m payment to a client, according to the FCA.
The U.K. Financial Conduct Authority fined the bank $43.9m, Plunkett $161,335, and banned the former trader from the industry. The incident is a blow to Barclays as Chief Executive Officer Antony Jenkins attempts to rehabilitate the lender’s reputation. Jenkins took over after Bob Diamond left in the wake of the Libor fine.
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