Banking
Iceland's top regulator: evidence shows failed banks broke the law
Director-general of Iceland's financial regulator says evidence exists that some banks were involved in fraudulent activities including insider trading and propping up shares, ex-Kaupþing chief arrested on charges
European rating agency could break the hold of 'big three': Barnier
European commissioner Michel Barnier moots a continental ratings agency to introduce diversity, comments follow criticism of ratings agencies from European finance minister
Lower growth a price worth paying for strong banks: Wellink
Basel Committee chairman Nout Wellink says potential drop in growth not too high a price for more robust banking system; secretary-general Stefan Walter says regulatory requirements still too soft
Basel Committee’s Walter: Basel III on track
A package of reforms to the Basel II capital framework will be calibrated by year-end as planned, says secretary-general.
Justice department begins criminal investigation into Goldman fraud: reports
SEC refers Goldman Sachs fraud case to the to US Justice Department as criminal investigations begin
Capital ratio hikes 'not appropriate' for South Africa
South African Reserve Bank says lenders already hold more than necessary and further hikes will only hit profits; deputy governor Guma flags work on macroprudential framework
US senators finally agree to reform debate
Having blocked discussions from Monday to Wednesday, Republican senators agree to let disputed regulatory reform bill be debated
Election uncertainty clouds future of FSA, Bank
Regulator could be swallowed by central bank if Conservatives win, but polls and analysts divided on most likely outcome
Fed advice cited in Senate vote against reform bill
Regulatory reform bill falls short of votes required for debate, Republican senator cites message from Fed staff criticising last-minute derivatives provisions
UK party leaders lock horns over breaking up banks
Liberal Democrat head supports Bank of England governor Mervyn King’s suggestion of splitting up banks by riskiness; disagreement on bank levies and regulator
ECB boosts transparency with new rules on ABS data
European Central Bank kick-starts work to implement enhanced data requirements for asset-backed securities, market participants overwhelmingly in favour of move
Swiss tighten liquidity rules for biggest banks
Swiss Financial Market Supervisory Authority and the Swiss National Bank clamp down on UBS and Credit Suisse through stricter liquidity regime
Fund calls for two taxes on banks
Leaked IMF interim report suggests a broad levy, and a profits and salaries tax as contingency against the risk of future government bailouts; rejects Tobin tax idea
Iceland's Guðmundsson laments lack of progress in regulation
Icelandic central bank governor says the promised regulatory overhaul has yet to transpire and institutions still do not have all necessary information to prevent a collapse
Six banks to vie for entry into Libya
Libyan central bank picks three Arab and three international banks to compete for two licences that will allow lenders to set up in the country according to state news agency
FSA names new consumer education chief
Supervisor picks pensions regulator head Tony Hobman to lead new consumer financial education body
EU finance chiefs to mull creditor haircuts
European finance ministers will discuss proposals to dock uninsured creditors and adopt instruments that convert debt to equity in distress at informal meeting on Saturday
NY Fed’s Sack warns of excessive reforms
New York Fed’s Brian Sack discusses lessons from the crisis but cautions reforms may be superfluous
Basel principles don’t guarantee stability: IMF paper
Complying with the Basel principles on supervision does not enhance the soundness of banks, Fund economists find
Central banks should oversee systemic risk
CentralBanking.com poll shows majority of respondents think central banks together with government bodies should be responsible for monitoring systemic risk
Greenspan slams systemic risk watchers
Former Fed chairman Alan Greenspan says systemic risk oversight bodies will not catch anything regulators have already missed, calls for contingent capital instead
Zim’s Gono blasts local takeover bill
Reserve Bank of Zimbabwe governor Gideon Gono slams new law that will force foreign-owned firms to transfer 51% of ownership to locals
Fed must keep regulatory oversight: Bernanke
Federal Reserve chairman Ben Bernanke, criticises plans to strip the Fed of its regulatory powers
Fed chiefs unite in bid to keep wider bank supervision
Current Fed chairman Ben Bernanke and former head Paul Volcker say taking all but the biggest banks away from the central bank would be a mistake