Latest news with #marketmanipulation
Japan Times
2 days ago
- Business
- Japan Times
Former SMBC Nikko managers found guilty in market manipulation case
Five former executives at Japanese brokerage SMBC Nikko Securities were found guilty for their roles in a market manipulation case, marking the culmination of a scandal that rocked Japan's financial industry. The Tokyo District Court handed down suspended prison sentences for the firm's ex-head of equity Trevor Hill and his deputy Alexandre Avakiants, as well as three Japanese former executives. Prosecutors had sought multiyear prison terms for their alleged roles in trying to support stock prices ahead of what are known as block trades. When the allegations surfaced in early 2022, they shone a spotlight on Japan's financial sector and led to regulatory penalties against the brokerage. The subsidiary of Sumitomo Mitsui Financial Group, Japan's second-largest banking group, posted losses and cut costs in the wake of the revelations as clients took their business elsewhere. The firm's top executives took pay reductions to shoulder responsibility. Former general manager Makoto Yamada was sentenced to three years' imprisonment, suspended for five years, the court ruled on Tuesday. Hill and ex-deputy president Toshihiro Sato received two and a half years, suspended for five years. Another former general manager, Shinichiro Okazaki, and Avakiants got shorter suspended sentences. The case underscores the legal risks for foreign professionals working in Japan. The country's justice system has faced criticism for its conviction rate of more than 99%, suggesting to organizations including Human Rights Watch that trials are practically foregone conclusions. Still, criminal proceedings against foreign business executives are relatively rare in Japan. The most high-profile case in recent years was against Carlos Ghosn, the former Nissan Motor chairman, who was accused of financial misconduct and fled the country before he was tried. It has been more than two and a half years since prosecutors brought charges against the former SMBC Nikko managers and the firm. Ex-manager Teruya Sugino received a suspended prison sentence in 2023 after admitting to the accusations. SMBC Nikko itself pleaded guilty. SMBC Nikko resumed block offers in April after renaming them retail offers and introducing a tighter internal monitoring of the transactions.
Bloomberg
6 days ago
- Business
- Bloomberg
Jane Street Scrutiny in India Puts Secretive Firm in the Spotlight
Never miss an episode. Follow The Big Take daily podcast today. Jane Street is one of Wall Street's most profitable and secretive firms. And when Indian regulators accused it of market manipulation earlier this month, it rocked the finance world.
Bloomberg
6 days ago
- Business
- Bloomberg
Big Take: Why Regulators Are Watching Jane Street
Jane Street is one of Wall Street's most profitable and secretive firms. And when Indian regulators accused it of market manipulation earlier this month, it rocked the finance world. On today's Big Take podcast, Bloomberg finance reporter Katherine Doherty joins host Sarah Holder to go inside Jane Street's unique trading strategy and what new regulatory scrutiny could mean for the high frequency trading industry.
Yahoo
6 days ago
- Business
- Yahoo
Genius Group Adds Kevin Malone to Advisory Team
Genius Group Limited (NYSE:GNS) is among the . Kevin Malone, a specialist in combating market manipulation, has been appointed the advisor to the Board of Genius Group Limited (NYSE:GNS). He also serves as the CEO and President of Malone Wealth, which is a Registered Investment Advisory Firm. Under this appointment, Malone will play a crucial role as Genius Group Limited (NYSE:GNS) prepares to file a lawsuit alleging market manipulation, specifically involving naked short selling and spoofing. According to the company's statement, the compensation received will be entirely in the form of shares, rather than in cash. This is what Malone refers to as 'putting skin in the game,' while positioning himself alongside shareholders. A successful entrepreneur holding a statement in her hands, looking at the camera with confidence and pride in her company's success. As Roger Hamilton, the CEO of Genius Group Limited (NYSE:GNS), said, 'I'm pleased to welcome Mr. Malone to the Genius team. Not only does he have extensive experience and expertise to offer our board, he also shares our passion for education.' Genius Group Limited (NYSE:GNS), a Singapore-based company, provides an entrepreneur education system, business development tools, and management consultancy services. With two segments, namely Education and Campus, the company engages in various activities that enhance entrepreneurial learning. While we acknowledge the potential of GNS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the . While we acknowledge the potential of GNS to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than GNS and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Khaleej Times
14-07-2025
- Business
- Khaleej Times
Jane Street deposits $567 million so it can resume India trading
U.S. high-frequency trading giant Jane Street, which has been accused of market manipulation by Indian authorities, has deposited $567 million in an escrow account so that it can resume trading in the country. The Securities and Exchange Board of India (SEBI) barred the firm this month from buying and selling securities in the Indian market and put a freeze on $567 million of its funds. Jane Street was only to be allowed to resume trading if an equivalent amount was deposited in an account that gives the regulator rights over the money until its investigation is complete. SEBI said in a statement on Monday that the money had been transferred and it was examining the company's request that restrictions placed on it be lifted. "The money has been deposited in good faith. The firm continues to contest the order and will send a formal response rebutting the allegations in coming weeks," said a source with direct knowledge of the matter. Jane Street did not immediately respond to a Reuters request for comment. It has told its staff it plans to contest SEBI's allegations and that the practices in question were "basic index arbitrage trading". Even with the ban lifted, the tussle with SEBI is expected to have a huge impact on its business in India, which is the world's biggest derivatives market. According to a separate source with direct knowledge of the matter, Jane Street does not intend to trade in Indian options while the dispute is unresolved. Options have been Jane Street's main line of business in India with its exposure to equity derivatives here roughly five to seven times its exposure to regular stocks, said the first source. SEBI could send instructions to India's exchanges to lift the ban sometime this week, said a third source, adding that the bourses will be directed to monitor Jane Street's trades very closely. The sources were not authorised to speak to media and declined to be identified. SEBI has alleged that Jane Street bought large quantities of constituents in India's Bank Nifty> index in the cash and futures markets to artificially support the index in morning trade, while simultaneously building large short positions in index options which were exercised or allowed to expire later in the day. The regulator, which tracked Jane Street's trading patterns for more than two years, has also widened its investigation to include other indexes and exchanges, a source has previously said. Bourse operator BSE gained 3.2% on Monday on the view that a lifting of the ban could bring more liquidity into the market. Explosive growth in Indian derivatives trading over the past three years has prompted much consternation among authorities about the fallout for retail investors. The South Asian country accounted for roughly 60% of the world's equity derivative trading volume in May, and in the past financial year equity derivative losses for India's retail traders widened by 41% to 1.06 trillion rupees ($12.3 billion).
