Barings Bank - 1275 Words

1. What was the case about? (Summary of the Case) The case was about how one man single-handedly brought down one of the world’s most historic banks. The man was Nick Leeson and it happened from 1992 to 1995. He did it while holding the position of general manager to Barings Securities in Singapore. As general manager he oversaw both trading and back office needs, something uncommon in the industry due to the fact that it eliminated necessary checks and balances that would prevent such fraud from occurring. He had authority to deal in futures and options order for clients or other firms within Barings and arbitraging price differences between Nikkei futures traded on the SIMEX and Osaka exchange, it was a low risk strategy meant to†¦show more content†¦5. How did the case come to the attention of the media? The case came to the attention of the media when Barings bank executives discovered Leeson’s trading activity and informed the Bank of England that they would not be able to meet SIMEX’s margin call, therefore declaring them bankrupt. Leeson had fled Singapore to Malaysia with his wife in an attempt to make it to London. They where arrested in Frankfurt. 6. What was the outcome of the case? Barings Bank collapsed because it was unable to meet SIMEX’s margin call. The bank of England was unable to save it due to the weariness of investors, they believed it was a black box and there wasn’t enough time to account for all the losses. On March 3rd, 1995 it was bought by ING for  £1 and took on all of its liabilities. Nick leeson and his wife where arrested the same day in Frankfurt, Germany trying to arrive to England to avoid extradition to Singapore. He went on trial in Singapore and was found guilty of fraud; he was sentenced to serve six and a half years. While in prison he contracted cancer, survived and wrote and autobiographical book called â€Å"Rogue Trader†. 7. How could this case been avoided? The situation could have been avoided if Barings would have had the appropriate checks and balances required to prevent fraud. In Leeson’s own words I completely recognize my fault in what happened, but it was clear Barings were incompetent, and their lack of oversight was appalling – allShow MoreRelatedAn Overview Of Barings Bank1066 Words   |  5 Pages âž ¢ Overview of Barings Bank Barings Bank was founded in 1763 and known as the oldest merchant bank in London until its collapse in 1995. The bank not only accepted deposits and provided financial services to its clients but also traded on its own account. Over the years it became quite successful and in 1980 it set up brokerage operations in Japan. Soon after, it expanded its operations to include a handful of other Asian countries and in 1992 it activated its seat on the SIMEX (Singapore InternationalRead MoreThe Collapse of Barings Bank1039 Words   |  5 PagesThis story begins with a former back office clerk being promoted to a derivatives trader for Barings Banks Singapore Branch and ends with the collapse of a 232-year old banking empire. As we began researching this assignment, we all asked the same question, How does a 28 year old trader bring about the collapse of a 232-year old banking empire? To understand how this debacle came about, one must have a basic understanding of the nature of a derivative and what they are designed to do. InitiallyRead MoreNick Leeson Barings Bank5242 Words   |  21 PagesCommodities Trading: Nick Leeson, Internal Controls and the Collapse of Barings Bank __________________________________________________________________________________________ Commodities Trading: Nick Leeson, Internal Controls and the Collapse of Barings Bank By Sam Bhugaloo Page 1 of 21 Commodities Trading: Nick Leeson, Internal Controls and the Collapse of Barings Bank __________________________________________________________________________________________ Table of Content Read MoreRogue Trader1525 Words   |  7 Pagesas it portrayed the character of a rogue trader in Baring Bank named Nicholas Leeson. The career path of Leeson followed an upwardly moving curve from his job of back office trading settlement to a highly acclaimed trader earning huge bonuses. Moreover because of the high popularity of Leeson, the Bank allowed him to make his own trade settlement, which is highly unauthorized and risky in terms that the risk limit of loss is violated and the bank, has to pay margin money on a continuous basis to makeRead MoreRogue Trader Essay758 Words   |  4 PagesA Short Essay of Rogue Trader In the movie Rogue Trader, Nick Leeson, a trader on behalf of the Barings Bank of England, made a series of financial fraud to cover the loss he incurred in trading—up to  £800 million—in the Singapore International Monetary Exchange which ultimately led to the fall of Barings Bank. This tragedy was a mixed result of the personal greed and the lack of control in Barings Bank’s system. Most of the COSO internal control frameworks were violated with the â€Å"Control Environment†Read MoreMr. Nicholas Leeson Case1963 Words   |  8 PagesMonetary Exchange. He was working for Barings Futures Singapore, a recently settled subsidiary of the oldest merchant bank of England, put in charge of operations with responsibilities for the front and the back office (Jacque, 2010, p. 147). Leeson wasn’t new to performing clerical tasks, indeed he had been working in 1987 in the back office of Morgan Stanley and specialised in the settlement of futures and options. After two years he moved to Barings Bank, where he was involved in September 1991Read MoreRogue Trader664 Words   |  3 Pagesselection of 2 components of the COSO framework that were most violated in the rogue trader movie In Rogue Trader movie Nick Leeson makes unauthorized trades and covers up losses which are sufficient to bankrupt Barings bank. While management thinks that Nick brings large profits to the bank, Nick hides losses under fake error account which people think belongs to a customer. Leeson is able to cover up his losses because banks management allows him to run both the trading floor and the back officeRead MoreRogue Trader Character Analysis1008 Words   |  5 Pagesup-and-coming Singapore stock market. Leeson had proven to be an effective and efficient worker when he was tasked to get bear bonds sorted on his first solo tasking with Barings Bank in Jakarta. That successful completion got him put in the Singapore position because they needed someone there, and he seemed to have the potential to make Barings a considerable profit. Control Environment The internal control environment in Rogue Trader lacked internal controls. Nick Leeson could create accounts, manage moneyRead MoreFin 4443343 Words   |  14 PagesBarings Bank and Nick Leeson Introduction I would like to present the case of Barings Bank, one of the most famous histories in the world when one man led to the bankruptcy the oldest British bank. Barings collapsed on February 26, 1995, due to the activities of one trader, Nick Leeson, who lost almost $1.4 billion. The loss was caused by a large exposure to the Japanese stock market, which was achieved through the futures market. Leeson, the chief trader for Barings Futures in Singapore, had beenRead MoreRogue Trader Coco Assignment2519 Words   |  11 Pagesare on the audit team for one of the leading banks in the U.S. You couldn’t sleep because of the traffic noise last night, so you stayed up far too late reading the Committee of Sponsoring Organizations’ (COSO) Internal Control-Integrated Framework and tried to figure out how it relates to your first real audit. â€Å"Please sit down,† Ms. Rise continues. â€Å"How has your first month here been? Are you enjoying your first auditing assignment at such a large bank?† â€Å"Oh, Ms. Rise, I love it here and I am

The Terrorist Attack On The World Trade Center - 1296 Words

Do you remember the terrorist attack on the World Trade Center? After that attack, President Bush â€Å"Appointed the first-ever director of the nascent Office of Homeland Security†(Homeland Security past, present, future). Homeland Security is to oversee and coordinate a comprehensive national strategy to safeguard the United States against terrorism and to respond to any future attacks. â€Å"In November 2002, the Department of Homeland Security (DHS) formally came into being as a standalone, Cabinet-level, department to further coordinate and unify national homeland security efforts† (Homeland Security past, present, future). â€Å"This new department integrated all or part of 22 different Federal departments and agencies into a single unified entity† (Homeland Security past, present, future). Since the 9/11 attack, a little over a decade ago, our nation has witnessed the initiation and implementation of two national warning systems, which was launched in Apr il of 2011. â€Å"We ve also seen the emergence of several emergency- and disaster-related citizen support groups, designed to serve law-enforcement agencies and first responders at all levels of government—city, county, state, and federal†(Homeland Security past, present ,future). Presendent Bush signed Homeland Security Presidential Directive 3 in March of 2002, creating the Homeland Security Advisory System (HSAS). â€Å"†This system was established to to serve as the foundation for a simple communications structure to disseminateShow MoreRelatedThe Terrorist Attack On The World Trade Center1559 Words   |  7 PagesThe two terrorist attacks that I will examine are the terrorist attack on the World Trade Center that took place on February 26, 1993 and The Boston Marathon Bombing took place on April 15. 2013. I will also be providing an overview of the terrorist attack at the World Trade Center and the Boston Marathon Bombing. I will explain the lessons learn ed from each attack in my own opinion. I will also describe what protective measures were taken during the attacks to prevent further casualties and injuriesRead MoreTerrorist Attacks On The World Trade Center1170 Words   |  5 PagesThere is little doubt that the terrorist attacks on the World Trade Center in New York on September 11 drastically changed America’s sense of security in recent years. Yet the country is facing another kind of threat, one that is not entirely different than the dangers of terrorism at a global scale: domestic terrorism. At its core, domestic terrorism differs from any other type of terrorism in the sense that those who carry it out are citizens or permanent residents of a given country and who inflictRead MoreThe Terrorist Attacks On The World Trade Center1377 Words   |  6 PagesThe terrorist attacks on the World Trade Center, the Pentagon, and the downing of an airplane by passengers on September 11, 2001 left many Americans reeling with fe ar and feeling vulnerable. The American people no longer felt safe and protected on their homeland soil. It was a violation of security that united not only the American people, but countries around the world. Shortly after the terrorist attacks of September 11, 2001, then President, George W. Bush, proposed the creation of the DepartmentRead MoreTerrorist Attacks On The World Trade Center1924 Words   |  8 PagesSeptember 11th, 2001. It is a date that will always be remembered as the date of random terrorist attacks on the World Trade Center in New York City. These cruel events took terrorist attacks within the United States, suppress the susceptibility of the United States to terrorism, and diminish damage and assist in recovery against any unwanted attacks. Congress s main focus for Homeland Security is â€Å"Intelligence and warning; Border and transportation security; domestic counterterrorism; protectingRead MoreTerrorist Attacks On The World Trade Center Towers And Pentagon985 Words   |  4 PagesOnce there was a 9/11 truther. He believed that the so-called terrorist attacks on the World Trade Center towers and Pentagon on September 11th, 2001 were secretly ordered and carried out by the United States government as part of a false flag operation to stir up popular outrage against their enemies abroad so that the evil George W Bush could work his will upon the world. Recently, the truther took an Introduction to Physical Science class. The swarmy professor who teaches the course mocked himRead MoreTerrorist Attacks: Pearl Harbour and The World Trade Center Essay970 Words   |  4 Pagesmistakenly done. Two big history repeats that are partially similar are terrorist attacks. Two terrorist attacks, both at different times, and both unexpected occurred. One being before the 1960’s and the other after. In the early morning of December 7, 1941, Pearl Harbor was attacked by the Imperial Japanese Navy. This was only one incident of terrorism. Another occurred on September 11, 2001 when the World Trade Center was attacked by Islamic extremists. Pearl Harbor began early on SundayRead MoreThe Events Of The 9 / 11 Terrorist Attack On The World Trade Center1170 Words   |  5 Pagesthe world is. The next thing I know, I am no longer capable of having trust and faith in others. My feelings of trust have changed since the events of the 9/11 terrorist attack on the World Trade Center, the Bernie Madoff’s Ponzi scheme, and the Boston Marathon bombings. The 9/11 terrorist attack on the World Trade Center have had a large impact on my opinion about the amount of trust people deserve. When I first heard that the reason the planes had collided with the towers was a terrorist attackRead MoreThe Terrorist Attacks On The World Trade Center And The Pentagon On September 111522 Words   |  7 Pages PTSD was originally conceptualized as a disorder of combat veterans. Unfortunately, societies all over the world are being more and more exposed to war and its effects due to the increase of worldwide terrorism. The terrorist attacks on the World Trade Center and the Pentagon on September 11, 2001 (9/11), exemplified a blend of extreme violence and man-made disaster previously confined to the battlefield. For American’s terrorism was a new phenomena that brought the atrocities of war to AmericanRead MoreThe Terrorist Attack On The World Trade Centers, Bernie Madoff s Ponzi Scheme, And The Boston Marathon1116 Words   |  5 Pageshow th e world is. The next thing I know, I am no longer capable of having trust and faith in others. My feelings of trust have changed sense the events of 9/11 terrorist attack on the world trade centers, Bernie Madoff’s Ponzi scheme, and the Boston Marathon bombings. The 9/11 terrorist attack on the world trade centers have had a large impact on my opinion about the amount of trust people deserve. When I first heard about the reason the planes had ran into the towers was a terrorist attack, beingRead MoreNew Operating Environment : The Supply Chain Management After The Terrorist Attacks On The World Trade Center1314 Words   |  6 PagesNew operating environment bought awareness to the supply chain management after the terrorist attacks on the World Trade Center and the Pentagon on September 11, 2001. These events exposed the pre-existing and unseen risk of disruption to supply networks from terrorist attacks. The risk was there all along but the attacks made it real and foremost in our minds. Additionally, these events began to expose the more significant interdependence that exists between all firms in the supply network

Comparison Of Racism In History Essay - 1123 Words

Comparison of Racism in History amp;#8220; I have a dream... where they will not be judged by the color of their skin but by the content of their character.; -Martin Luther King Jr. We have come a long way since the Civil Rights Movement in the United States. Our cities are filled with numerous minority groups with different religions and cultures. We live in a multicultural society where we donamp;#8217;t have to think about hate crime too much. We can feel safe when going to the corner store without being pasteurized by a mob of amp;#8220;haters;. We live in a very safe country, but instances during the World Wars make us pray that non-of that will ever happen in Canada again. This ISP will examine the similarities and†¦show more content†¦The Canadian government was fearful of Japanese spies on the coast of Vancouver. So the government decided to tally up all the Japanese within a hundred miles of the coast and put them into interment camps. Although the military said that Canadian Japanese were not a threat to Canada, the government felt it was amp;#8220;necessary; to deport all the non-citizens. This is what Joy writes about in her novel. nbsp;nbsp;nbsp;nbsp;nbsp;The novel and the play are similar because they focus around one main minority group and their problems. It would seem, in these stories, that when Canada is faced with a crisis, the government takes command and sometimes encourages racism. All the racism in Canada is just like racism throughout the world: people getting hurt for no other reason than they can help. These two stories reflect how racism made lives of non-whites suffer because of hate. This hate does not have to be there, but sometimes people feel there is no choice but to hate. nbsp;nbsp;nbsp;nbsp;nbsp;Other similarities like the setting tells the history behind what Vancouver is today. Although Vancouveramp;#8217;s past is filled with many discriminating stories, it now occupies many nationalities and races. This shows how racism can be over come and thatamp;#8217;s how it should be. Another similarity that both have in common are the fact that both authorsShow MoreRelatedThe Impact Of Racism On The Health Of Indigenous Australians911 Words   |  4 PagesRacism in Australia has always been a controversial element of our country and still continues on in today’s society. Our nation is a bigot country, and the history of Australia shows it continuously has been. Racism majorly impacts the health of Indigenous Australians. The impacts reflect on the life expectancy and mental health of the Indigenous Australians who are then racially criticised in our health system. This paper will explore the impacts that racism in Australia has on Indigenous Austra liansRead MoreThe Wages Of Whiteness : Race And The Making Of The American Working Class1565 Words   |  7 PagesIn The Wages of Whiteness: Race and the Making of the American Working Class, David Roediger examines the intensification of American racism in the white working classes in antebellum America. He maintains that, impelled by republican doctrine, the pressures and anxieties of industrialization and the longing for a preindustrial past, white workers constructed a notion of â€Å"whiteness† and of white supremacy in opposition to black slavery that characterized black slaves as their inferiors. ThereforeRead MoreSocioeconomic Status And Race : The Role Of Teachers And Staff Members Of Urban High Schools1732 Words   |  7 Pagessmall town and rural communities—on various measures, including education levels, income levels and racial and ethnic makeup of their populations. What was found in regard to the differences between these communities was that suburban areas, in comparison to urban areas, have higher income and education levels. Large cities, or urban areas, were found to have one of the highest rates (35% of the population) of income levels below $35,000 a year (Miller et al., 2012). What is more, urban areas alsoRead MoreWhite Privilege : Unpacking The Invisible Backpack891 Words   |  4 Pagesin America is often overlooked or unaffiliated with discussions concerning racial dilemmas. Whiteness and white privilege perpetuates racism due to its normalization in society which in turn serves as an agent of how other non-white people are treated. White privilege has been continuously normalized, throughout history, within society. The common cliche history is written by the victors,† illustrates perfectly the development of a systemic structure that allots benefits to white people whileRead MoreEssay The Costs of Racism1146 Words   |  5 PagesThe Costs of Racism The Merriam-Webster Online Dictionary defines racism as â€Å"a belief that race is the primary determinant of human traits and capacities and that racial differences produce an inherent superiority of a particular race.† Racism is one of the deepest stains on the pages of American history. What began as feelings among whites of being superior to blacks turned into possibly the worst phenomenon the United States ever dealt with. Even 100 years after Abraham Lincoln signedRead MoreRacism And Racism : New Zealand Essay1455 Words   |  6 PagesEuropean colonisation in the nineteenth century, have experienced the effects of racism and institutional racism as a result of this colonisation. This essay explores the ideas of racism and racial discrimination and the difference between the two concepts. It discusses the history of New Zealand and where racist issues may have derived from throughout society and how these issues through the idea of institutional racism stil l exist in contemporary society, by discussing the representation of Maoris’Read MoreRacism Is The Belief Of All Members Of A Specific Race905 Words   |  4 PagesRacism is the belief of all members of a specific race to have the same specific characteristics or abilities to that ethnicity group. Racism is directed towards a specific person’s race based on the belief that one’s race is superior to the other. Racism has been a big issue ever since history could recall. Wherever there are different racial kinds of people, there would be racism. How does history, global issues, and societal up bringing affect racism in our current society. The history of racismRead MoreAustrali A Strong Culture Of Racism1660 Words   |  7 PagesDid you know that a staggering 97% of indigenous Australians experience racial abuse on a regular basis even though this is their homeland? Australia has developed a strong culture of racism, caused by its long history of discrimination. Despite this a large majority of the population are in denial of its existence. The grim reality is that this bigotry is affecting all aspects of society including health, the economy, housing, unemployment rate and social unity. We must act, in order to decreaseRead MoreThe Economic Opportunities For Indigenous Young People Essay1731 Words   |  7 Pagesgrief experienced by Aboriginal people on a daily basis as a consequence of their long history of dispossession in this country’ (Krieg, 2006, p. 535). What a sad state of affairs that going through corrective service or the juvenile justice system is seen as a rite of passage for some Indigenous young boys since their traditional /cultural rights, power and status had been usurped by colonisation and racist/assimilationist policies (Marchetti, 2008). For others, remand provides relief from theRead MoreAfrican Americans : A Racially Equal Society1613 Words   |  7 PagesSystemtic and Institutional Racism Margo Newkirk ENG 122: English Composition II Andrea Collins August 29, 2016 A racially equal society is one whereby individuals are not likely or more likely to receive certain benefits given that they belong to a particular racial group. This would be an ideal society given that the current American society is characterized by institutional and systemic racism. Institutional racism can be defined as institutional practices and other aspects of government such

Faking da Funk by Tim Chey Essay Example For Students

Faking da Funk by Tim Chey Essay After watching the movie Fakin da Funk, I was able to identify five themes connected to race, ethnicity, and the stereotypes of speaking black?. These five themes include racist stereotypes, racist misconceptions, ethnicity differentiation, and mistreatment because of race. The movie Fakin da Funk starts out with a black mother and father waiting to receive their young baby. The child finally comes but the only problem is the ethnical background of the child is different from that of the mother and father. Despite this the mother doesnt mind and says she wouldnt mind keeping it while the father continues to argue with the man who brought the baby and says that they cant keep the baby because it is not black and because there could be future problems with the Asian child growing up in the hood?. Eventually they adopt Julian and he becomes their son. The first theme that became apparent to me as I watched the movie was the theme of racial misconceptions. As Julian was playing basketball one day in the park his black counterparts were playing ball and Julian wanted to play. For the simple fact that Julian was Asian one of the young black males began to ridicule Julian and make Chinese jokes about him. I believe that being able to excel in basketball does not require one to be of a certain race or ethnicity. Also often times I see people having racial misconceptions about people because of how they act or where they originate from. For example a lot of people say that Asians are smart just because they are Asian. That is definitely not true because all humans are smart in their own way. The next theme that I was able to identify is the theme of racist stereotypes. Julian was an Asian in a black family and a lot of people did not believe that he was being himself when he was apparently speaking black?. There was a part of the movie where one of Julians friends told him to stop speaking black. To me speaking black is a racist stereotype towards black people because there is in fact no such thing as speaking black in my opinion. There are a lot of times where I see that blacks or others might tell one of their friends to stop acting black and it really upsets me because that person is being extremely ignorant in terms of how one must speak. The next theme that was apparent to me in Fakin da funk is the theme of ethnicity differentiation. There was an Asian exchange student named May-ling who was also looking for her family members but she ended up staying with another African American family for a while. She was eventually treated differently because she didnt speak good English. On a lot of occasions I see that people are teased and made fun of because they were immigrants and English wasnt their first language. They have their accents with them and some of the accents might sound peculiar or strange causing others to laugh at them. I believe that this is wrong because all people should be treated the same way regardless of ethnicity or accent. Lastly, a final and apparent theme that I noticed in fakin da funk is the theme of mistreatment because of race. The foreign exchange student May-ling was referred to as the the Asian girl and was the butt of some Asian jokes because of her race. I believe that this was unfair because your ethnicity does not define who you are as a person. I have many Asian friends and I refer to them as their names. They are all human beings and deserve to be treated equally like everyone else.