It's all kicking off.
Bloomberg reports that evidence Jerome Kerviel presented to support claims that Societe Generale let him amass $63bn in stock index futures trades so it could later hide losses on subprime loans reveals 'nothing new', so said the Paris judge hearing the appeal against the trader's 2010 conviction.
Judge Mireille Filippini, who last week demanded evidence from Kerviel’s lawyers to support allegations he was caught up in a conspiracy, said an unsigned letter and documents related to a Societe Generale account’s trades from January 2008 wasn’t sufficient.
The anonymous letter was 'founded on rumors', and the documents show 'nothing new to the court', Filippini said Monday. After she ordered Kerviel’s attorneys to disclose who wrote the letter, Kerviel’s lead lawyer David Koubbi identified the author as Philippe Hoube, who works at brokerage Newedge Group, where Kerviel passed many of his orders.
'I want to hear from this man', Filippini said and scheduled a hearing for June 14 for Hoube and Maxime Kahn, who unwound Kerviel’s unauthorized trades, to testify.
In the meantime, the news organisation also reports that Nomura may face 'severe action' by Japanese regulators after employees of the country’s biggest securities firm leaked insider information, Financial Services Minister Tadahiro Matsushita has said.
'It’s regrettable that information on public offerings was leaked to the sales department of the lead underwriter, which is supposed to strictly manage such information', Matsushita said at a news conference Monday in Tokyo. He didn’t elaborate on the types of action the Financial Services Agency may take, saying it depends on the outcome of the investigation.
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