US Fed fines BNP Paribas 246 mln Dollars for forex fixing manipulation

BNP Paribas

BNP Paribas

The board said the firm failed to detect and address that its traders used electronic chatrooms to communicate with competitors about their trading positions. The Board is also prohibiting the firm from re-employing individuals who were involved in the conduct underlying this enforcement action.

Cases against traders are ongoing.

"BNP Paribas deeply regrets the past misconduct which was a clear breach of the high standards on which the Group operates", the bank said in a statement after the settlement was announced on Monday.

The fines come amid a larger Federal Reserve Board investigation of currency market manipulation.

The fine marks the latest action taken by the US central bank as part of a long-running crackdown on price-fixing across foreign exchange markets, in which several banks have already pleaded guilty to conspiring to manipulate currency prices.

Jason Katz, a former BNP Paribas trader, in January pleaded guilty - the first person to do so - to violating U.S. competition laws while conspiring over the USA and South African Rand in January.

BNP said the misconduct occurred between 2007 and 2013 the company has taken steps to strengthen oversight.

The fine also follows the Fed decision in April to fine Germany's Deutsche Bank more than $150 million for similar "unsafe and unsound" foreign exchange trading practices.