I hope they make an example of StanChart but of course Temasek will suffer as it is a major shareholder.
The Code of the Gentleman was supposed to guide conduct in the City. A light touch to regulation lubricates the functioning of financial intermediaries and is an unassailable competitive advantage for London. Sadly London and the world forgot that the Gentleman exist only in romantic memory but in reality lived as briefly as decaying elementary particles. Only a matter of time the skeletons must fall out of the cupboard.
In the end only the smaller banks can be trusted. Not because they have more integrity but they do not have the opportunity to sin.
Some colorful language from the Reuters article:
In a rare look inside a bank, the regulator described how Standard Chartered officials debated whether to continue Iranian dealings. In October 2006, the top official for business in the Americas, whom the regulator did not name, warned in a "panicked message" that the Iranian dealings could cause "catastrophic reputational damage" and "serious criminal liability."
A top executive in London shot back: "You f---ing Americans. Who are you to tell us, the rest of the world, that we're not going to deal with Iranians." The reply showed "obvious contempt for U.S. banking regulations," the regulator said.
Considering Mitt Romney's disparaging remarks of the London Olympics, if the man becomes President, may be the special relationship with the UK is over. If London goes down the drain, why would the Americans need them? Changed world, new relationships.Update: August 15
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You are right,more are on the way,all the sins shall be exposed soon.
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