The “rogue trader” who cost his former employer, French bank SociÃ©tÃ© GÃ©nÃ©rale, $7.1 billion through a series of high-stakes bets that leveraged fictitious transactions outside his trading limit was sentenced today to 3 years in prison and a “symbolic” $6.7 billion fine. [More]
The French bank Societe Generale has announced that a trader “concealed massive trading positions built up over 2007 and 2008 through ‘a scheme of elaborate fictitious transactions,’” which ended up losing the bank 7.1 billion dollars. That’s as much damage by a single employee as the subprime-related losses the bank reported in the past two months. Oops.