London Bank Scandals Risk Losing Business to U.S., Lawmaker Says
Firms in London’s financial district must root out lawbreakers and stop flouting international rules or else the city will lose business to New York, said Mark Field, who represents the area in the British parliament.
“Politicians in the U.S. will be keen not to take any prisoners as they trawl for fresh targets” in an election year, Field, a member of the governing Conservatives, said in an e- mailed response to questions. “Many in Wall Street recognize an irresistible opportunity unfairly to discredit the City of London as a whole, in order to claw back some of the market share in financial services that New York had lost.”
New York regulators yesterday accused Standard Chartered Plc (STAN) of violating money-laundering laws. The probe follows last month’s Senate finding that HSBC Holdings Plc (HSBA) gave terrorists and criminals access to the U.S. financial system, resulting in a $700 million provision for fines, and JPMorgan Chase & Co.’s trading loss of at least $5.8 billion at a London-based unit.
-- Editors: Keith Campbell, Jon Menon
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