Firms Accused Of Advancing Deception

Bloomberg reports that US lawmakers are turning up the heat on Citigroup and JP Morgan and have accused both firms of helping Enron use 'deceptive accounting strategies' to hide debts.

Merrill - New Boss, More Bankers Go

The FT reports that Merrill Lynch has confirmed its new chief to run Europe. But it's still business as usual as The Wall Street Journal claims that the firm laid off around 100, or 10%, of its investment bankers last week.

Ex-CSFB Man Rejects Subpoena

The FT reports that a former senior executive at CSFB is resisting attempts by securities regulators to interview him as part of the on-going probes into Wall Street stock research practices. He claims that the subpoena served on him a month ago by Massachusetts authorities is not lawful.

Credit Agricole Fights Back

The FT reports that, just when BNP Paribas thought that the jig was almost up, Credit Agricole has hit back in the fight between both banks for control of Credit Lyonnais and has now purchased more shares, making Agricole the largest shareholder in Lyonnais.

Wall Street Firms Seek Lower Penalties

The Wall Street Journal reports that US securities firms are asking regulators to be more lenient with them and agree to lower fines in order to settle the various federal and state probes concerning Wall Street stock research practices.

Merrill And CSFB Dismissed

Reuters reports that Merrill Lynch has been dismissed as international fixed income manager by another high profile client and that CSFB has also lost out at the same client, who has axed the firm as a currency overlay manager due to 'philosophical differences'.

Ex-Banker - Good Xmas, But What Next ?

The Evening Standard reports that a former Morgan Stanley investment banker is doing rather well out of selling Christmas trees and the paper contrasts his bounty with that of his former colleagues at the bank who are unlikely to get a big bonus this Christmas. But surely things are not that bad in the City ? The bankers that remain are at least gainfully employed in a job that will hopefully last a little longer than December 24th. And, remember, it will be at least a further 11 months before the market in Christmas trees picks up - even the M&A market could be back before then!

DLJ Founder New SEC Man

Bloomberg reports that William Donaldson, the co-founder of investment bank Donaldson, Lufkin & Jenrette (DLJ), is George Bush's choice to replace Harvey Pitt at the helm of US regulator the Securities & Exchange Commission (SEC).

BNP Prepares $18bn Bid For Rival

The Business reports that BNP Paribas is expected to continue buying more shares in Credit Lyonnais this week as it consolidates its position and readies itself for an $18bn bid to take over its rival.

More Jobs To Go At Dresdner

The FT reports that up to 800 jobs will go in the shake up that follows Dresdner Bank's decision to more closely integrate the bank's traditional lending operations with its investment banking activities. Up to 400 of the jobs are likely to be lost in Frankfurt.