Libertarians

[NYBob]

Class-action suit against gold-fix banks -

AIS files class-action suit against gold-fix banks
Stories You Might Like

By Francesca Freeman
A U.S. investment-management firm has filed a lawsuit against the five banks that set the London benchmark gold price, alleging that the banks conspired to manipulate the price of gold for their own gain.

Documents seen by The Wall Street Journal show that AIS Capital Management, based in Connecticut, filed a class-action complaint late Monday against Barclays PLC, Deutsche Bank, HSBC Holdings PLC, Bank of Nova Scotia and Société Générale SA in the U.S. district court for the Southern District of New York.

The suit is on behalf of AIS and other investors who held or traded gold and gold derivatives that were settled based on the gold fix, or who held or traded COMEX gold futures or options, from 2004 to present.

The London gold fix is a global benchmark for the spot price of gold that is used, for example, by jewelers and central bankers to price deals and help determine the value of securities tied to gold, such as exchange-traded funds. That process, which plays a crucial role in the $20 trillion-a-year gold market, is under review by regulators in the U.K. and Germany.

AIS wasn't available for comment.

Barclays, HSBC and Société Générale declined to comment. A spokesman for Deutsche Bank said: "We believe this suit is without merit and will vigorously defend against it." Bank of Nova Scotia didn't immediately respond to requests for comment.

Write to Francesca Freeman at [e-mail]

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=98655496

Bank of England to Parlament: We shredded all our documents
Oops.

http://wallstreetonparade.com/2014/03/bank-of-england-drops-a-bombshell-on-parliament-it-shredded-its-crisis-era-records/

George Soros: Banks are parasites

http://www.telegraph.co.uk/finance/financialcrisis/10684896/George-Soros-blasts-parasite-banks.html

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=98656477