gold manipulation

Deutsche Bank Admits Gold Manipulation

April 14th, 2016 by

gold manipulationIn a surprise development, “Too Big Too Fail” Deutsche Bank has admitted to silver and gold manipulation, and pledged to hand over evidence implicating other major banks. The Frankfurt-based banking giant had abruptly resigned its seat on both the London gold fix and London silver fix in 2014, pressured by class-action lawsuits and investigations by German regulatory authorities.

The out of court settlement between Deutsche Bank and the plaintiffs will need to be approved by U.S. District Judge Valerie Caproni, who is the judge presiding over the case in Manhattan federal court. Complete details of the settlement are still being negotiated. Should they break down, the lawsuit will proceed.

Attorneys for the plaintiffs informed the court of the major points of the settlement, stating in their letter “In addition to valuable monetary consideration to be paid into a settlement fund, the term sheet also provides for other valuable consideration such as provisions requiring Deutsche Bank’s cooperation in pursuing claims against the remaining defendants,”

This follows Deutsche Bank’s preliminary settlement with plaintiffs yesterday, regarding accusations of manipulating silver prices.

gavelDeutsche Bank’s rolling over on the other banks will include surrendering correspondence (including instant messages) between DB traders and alleged co-conspirators at Barclays, Societe Generale, ScotiaBank, and HSBC.

By cooperating in the plaintiffs’ gold manipulation suit against the other banks, Deutsche Bank will avoid a court trial, which could have been even more damaging to the company. This settlement will doubtlessly be cited in other anti-trust lawsuits still pending against the banks involved.

As with LIBOR and forex rigging by major banks, conspiracy theories have again proven to be conspiracy facts.

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