Markets Magazine

Societe Generale Undermined by Greek Debt Crisis After Kerviel

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In a locked room on the 33rd floor of Societe Generale SA’s 36-story headquarters in western Paris, members of the bank’s fraud control team peer at their computers, scrutinizing the trades being executed by dealers in eight trading rooms on the floors below.

They’re searching for clues that Societe Generale might harbor another Jerome Kerviel, the junior dealer who bank officials discovered in January 2008 had amassed some 50 billion euros ($72 billion) of unauthorized trades -- which, when unwound, cost the bank 4.9 billion euros in losses.