FRANKFURT, March 7 Deutsche Bank
denied a German newspaper report on Friday that claimed a senior
bank official knew of alleged currency market manipulation
efforts as far back as 2006.
The Frankfurter Allgemeine Zeitung reported on its website
that a senior Deutsche currency trader attended meetings with
officials from Bank of England eight years ago where currency
trading irregularities were discussed.
Details of those meetings were first brought to light on
Wednesday in a Reuters report. [ID: nL6N0M23JY]
The so-called currency fixings that are at the centre of a
global investigation into allegations of manipulation by traders
are used to price trillions of dollars worth of investments and
deals and relied upon by companies, investors and central banks.
Regulators have said the alleged foreign exchange
manipulation is as bad as the Libor interest rate rigging, which
has resulted in banks shelling out $6 billion in fines and
settlements and criminal cases against some individuals.
Deutsche Bank, however, said that its representative did not
attend the BOE meeting in July, 2006, of the Chief Dealers'
Subgroup of the Foreign Exchange Joint Standing Committee where
irregularities were discussed.
Deutsche Bank, Germany's flagship bank, is a member of the
committee but did not attend the meeting, the bank said.
Deutsche Bank, the world's largest currency trader, also
said that its own behaviour in the currency markets was never a
topic at the meetings.
"The facts are that no allegations of manipulation or
wrongdoing were raised against us at the Bank of England meeting
in July 2006. Further, Deutsche Bank was not even present at the
referenced meeting," the bank said in a statement.
"The minutes of the meeting do not address the behaviour of
Deutsche Bank nor any of the banks executing orders at the fix
on behalf of clients," Deutsche said.
Deutsche said it was pursuing its own internal review of
currency market dealings and was cooperating with regulatory
authorities in their investigations.
(Reporting by Thomas Atkins)