Wonder what to make of the fraudulent trade by junior FX Traders . If the junior ones can hid north of $100 million wonder what the seniors may be up to. Well, I wonder why was this not caught ? What about internal audit. Wonder if they have any clue about trading or trading systems. I would think some firings in audit are needed badly
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In recent memory (my recent memory), Morgan Stanley has been hit by enormous fines – plural – from the SEC for non-compliance. I believe this was a direct result of fraudulent activity on the part of the traders, not the auditors. So, this begs the question:
Why continue to pay the traders ridiculous salaries and sky-high bonuses for screwing up so badly that it impacts the firm's bottom line? And then the firm turns around and cries, "We must now cut costs (translation: we have to cut the much lower paid employees)." In case anyone's wondering, my husband was part of yesterday's blood bath (Dec. 9, 2019) and my post is not "revenge." It is simply fact. Empirical evidence, in case anyone cares to do a little research. I pray the investors are doing their research!
Are the firings due to the fraud ?
Not that easy, you mo–n! Audit tests only process and not transactions. Audit is doing a good job. It is the traders who collided .