Sigrún Davíðsdóttir's Icelog

Barclays: the corrosive damage of fraud

with 4 comments

Over several years, Barclays provided wrong numbers to rig Libor and Euribor rate. It didn’t do it alone, we are just waiting for other banks to be named. The banks didn’t do this to lose money. On the contrary, they ultimately profited from the rigging. It means that the profit obtained over years have been based on wrongdoing.

The corrosive damage of fraud is that results, obtained by fraudulent methods, turns into a benchmark. In comparison, results, obtained in an honest way, looks very poor. It’s well known among those who fight organised crime that this skewed comparison is one of the lasting damages caused by fraud.

Bankers, willing to improve their results by fraudulent methods, have shown themselves immune to the thought that getting results in an illegal way is in any way wrong. A CEO who hasn’t been able to incorporate in the company culture the simple difference between right and wrong shouldn’t be leading a company.

It may be difficult to calculate the numbers, how much the results – and ultimately the profit – have been influenced by the rate-rigging but this activity was carried out to mislead. If this isn’t market manipulation then I don’t know what would be. Market manipulation is a seriously criminal offense. Something for the SFO to investigate – and with the investigations already done, they wouldn’t need to start from scratch.

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Written by Sigrún Davídsdóttir

June 29th, 2012 at 12:28 pm

Posted in Iceland

4 Responses to 'Barclays: the corrosive damage of fraud'

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  1. Rate rigging and creative accounting are part of the Banking Circus we have all been subjected to whilst governments do absolutely nothing to stop the fraud and corruption.
    The manipulation of figures to steal from the consumer and defraud decent , hard working people whilst mis-selling financial products and scams has gone too far for too long.

    There are already so many European Banking frauds that have been taken up by Criminal Courts that a great deal of serious investigation has already been done.
    The SFO has no choice other than to dig further and deeper and to get rid of the rotten banks and Bankers who are guilty of these crimes.


    29 Jun 12 at 9:20 pm

  2. Well it all becomes crystal clear now. I would say that with very few exceptions all banks have been trading in a fraudulent manner, some more so than others.

    We see a household name like Barclays in the situation they now find themselves, with a lot more to come. It was no wonder that other banks seeing what was going on joined in the fun and games and they too started ripping off their clients. Too easy and we all trusted the good old banks.

    As has been seen on several of the blogs on this site Landsbanki became quite proficient at it. So good that they were able after their demise to include the administrators in their craft.

    They set up the equity scams which basically separated investors from their assets in a very clever manner through Luxembourg. These assets were then used to raise capital which was syphoned off prior to collapse. I also believe that collapse was inevitable as that was all part of the grand plan. It just happened a bit sooner than expected.

    So the owners of the bank now have the cash from the assets. The bank implodes and the administrator takes on her role of trying to claw back the assets not from the bank owners but from the owners of the assets. I hope you follow this. It is really so simple and so so wicked.

    Unfortunately for the investors in this scam had they made their contracts any where else in Europe they would probably now have had their homes returned to them, perhaps even with some compensation. This however cannot be as the contracts were set up in LUXEMBOURG and as they have all discovered to their cost LUXEMBOURG is corrupt.

    Despite all of this gloom I have a feeling that all is going to end up well for the 400 pensioners caught up in this scam. Ultimately good will prevail and LUXEMBOURG will get its just desserts.

    Nina Foster

    4 Jul 12 at 7:32 am

  3. Landsbanki Luxembourg administration is giving the victims of their fraudulent manipulations an ULTIMATUM.

    The victims must pay whatever figure the tough and ruthless administrator Mme Hamilius orders even though FALSE .

    This, with the collusion of Luxembourg creative expert accountants and circus performing judiciary .

    Then, the victims must SHUTUP and drop All Criminal Charges against the fraudulent bank and it’s illegal schemes or they lose their homes!

    They, the victims, must also agree to drop any future Criminal Charges against the terrible, injust and cruel administration conducted under the responsibility of the JUGE COMMISAIRE. By Mme Hamilius.

    Luxembourg has disgraced itself as London has done.

    Luxembourg is playing Cowardly Ostrich.

    London wants a clean up

    Luxembourg wants to play dirty, stay dirty and hide in a corner hoping no one will notice!

    The only nation in the world which has seriously tried to incriminate the Banksters and their colluding accomplices is ICELAND.

    They were the first to try and this shows great courage.

    When there is such corruption and abuse of power in the financial cess-pits where money devours everything else and even common decency and respect for the elderly, ill and vulnerable, we can safely say that civilization is terminally I’ll.

    Iceland led the way and TRIED to clean up the financial sewer and restore decency and trust and others should have the courage to follow this example and go further.

    The SFO cannot and should not be blackmailed and shut up by the bankers as the victims of Landsbanki are.

    Serious Fraud should not be swept out of the Office at the will of colluding governments and greedy corrupt Bankers.

    There is a reason London does not mention Luxembourg and we believe the reason is mind-blowing and a can of worms to be opened by the story of abuse of the very people Luxembourg fear least.

    The old aged pensioners they have been confidently torturing and robbing whilst they thought no one was looking!

    This scandal is Luxembourg’s FATAL. ERROR.

    Mme Hamilius may have been the catalizing can opener as she thought she could tread rough shod over old aged pensioners and laugh at their distress.

    Every powerful tyrant has a square named after them but so often the power goes to their head and the name of the square becomes a very dirty name!

    When one loses one’s reputation, no amount of money or blackmail can buy it back.

    George Ward

    4 Jul 12 at 9:09 am

  4. Having followed Sigrun’s blogs and the subsequent discussions that have resulted there can be no doubt that Landsbanki was born of fraud which was its ultimate downfall. I am disgusted at the way the Landsbanki Equity Release Victims have been defrauded both in France and Spain and the subsequent way in which the Administrator and Luxembourg Authorities have treated these people. I suppose that if Landsbanki was still operating as a bank then this crazy situation would have come to a close by now. Unfortunately there is no reputation to be lost as Landsbanki is no more. Is it any wonder then why the Administrator through Luxembourg has taken this stance as there is no reputation to destroy, they made a good job of it themselves. Perhaps the only way forward is through criminal and civil action. Perhaps Mme Hamilius should be told that unless they come to some agreement you will be going down this route. If there is any blackmailing to be done then get in before Mme Hamilius.


    4 Jul 12 at 10:18 am

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