LONDON, April 10 A Deutsche Bank
employee responsible for its foreign exchange business with
central banks was suspended because the bank identified
potentially inappropriate communication with the Monetary
Authority of Singapore, a source familiar with the matter said
Kai Lew, a London-based director of institutional sales at
the German bank, became the first woman to be embroiled in a
global probe into the $5.3 trillion-a-day currency market, the
world's largest, when she was placed on leave last month as part
of an internal investigation by Deutsche Bank.
She is one of more than 30 employees at some of the world's
biggest banks to have been placed on leave, suspended or fired
in the course of the continuing investigation by regulators into
alleged manipulation of key exchange rates.
There is no evidence of any wrongdoing by Lew, Deutsche Bank
or Singapore's central bank, the source said.
Lew could not immediately be reached for comment, while
Deutsche declined to comment on the development, which was
earlier reported by the Wall Street Journal.
The bank repeated a previous statement that it has "received
requests for information from regulatory authorities that are
investigating trading in the foreign exchange market.
"The Bank is cooperating with those investigations, and will
take disciplinary action with regards to individuals if
A spokesman for the Monetary Authority of Singapore (MAS)
said, "MAS has been in contact with foreign regulators and
stands ready to assist in the FX investigations. We have been in
touch with financial institutions, including Deutsche Bank, on
these investigations. MAS is looking into all allegations of
The development widens the global probe to a second central
bank, after the Bank of England suspended an employee earlier
this year pending an investigation into compliance with its
"rigorous internal control processes".
A source familiar with the matter in Singapore said it was
'inappropriate' to compare this issue with the Bank of England
situation, but declined to give any futher detail.
Lew joined Deutsche in February 2006 from Goldman Sachs
, where she had worked for six years in London, Hong Kong
and Singapore, according to her LinkedIn page.
Deutsche Bank is the world's biggest currency trader, with
on average some 15 percent of the market, according to the
latest Euromoney poll.
The German bank has so far taken action against five
employees in London, New York and Buenos Aires.
(Reporting by Jamie McGeever, Rachel Armstrong and Thomas
Atkins; Editing by Alexander Smith and Greg Mahlich)