Barclays Plc (BARC) ran a proprietary trading fund that profited from the bank’s attempts to manipulate benchmark interest rates, the plaintiff in the U.K.’s first lawsuit linked to Libor misconduct said.

http://www.bloomberg.com/news/2013-12-06/barclays-fund-gained-on-libor-fixing-u-k-lawsuit-says.html

The Basel capital adequacy ratios lost credibility with financial markets during the crisis. This paper argues that failure was the result of the reliance of the Basel standards on overstated asset values in reported equity capital. The United States’ stress tests were able to assist in restoring credibility, in part because they could capture deterioration in asset values. However, whether stress tests will prove equally valuable in the next crisis is not clear. Some of the weaknesses in the Basel ratios are being addressed. Moreover, the U.S. tests’ success was the result of a combination of circumstances that may not exist next time. . . .

http://www.frbatlanta.org/documents/pubs/wp/wp1314.pdf

Former Goldman Sachs Group Inc. (GS) trader Matthew Taylor was sentenced to nine months in prison for concealing an unauthorized $8.3 billion trading position in 2007 that caused the bank to lose $118 million.

http://www.bloomberg.com/news/2013-12-06/ex-goldman-trader-taylor-gets-nine-months-for-concealing-loss.html

U.K. traders who’ve come under investigation for rigging benchmark rates may find themselves in another difficult situation — unable to find a good lawyer. . .

http://www.bloomberg.com/news/2013-11-29/fx-to-libor-probes-leave-u-k-traders-looking-for-lawyers.html

The financial rewards handed to the City’s highest-paid bankers rose by a third last year – and more than 2,700 of them were paid more than €1m (£830,000) in 2012. . .

http://www.theguardian.com/business/2013/nov/29/city-of-london-highest-paid-bankers

The Upper Tribunal (Tribunal) has upheld the decision of the Financial Conduct Authority (FCA) to fine Scottish firm Westwood Independent Financial Planners (Westwood) £100,000 for communications and suitability failings in relation to geared traded endowment policies (GTEPs). . . .

http://www.fca.org.uk/news/firms/tribunal-upholds-fca-fine-on-firm-for-misselling-complex-investments

The Financial Conduct Authority (FCA) has now considered the reports published this week by Sir Andrew Large into lending practices at the Royal Bank of Scotland (RBS) and, separately, by Dr Lawrence Tomlinson into banks’ treatment of customers in financial difficulty. The FCA has been kept informed by RBS during this period. . .

http://www.fca.org.uk/news/press-releases/statement-regarding-royal-bank-of-scotland

Europe’s twin woes of too little inflation and too many unemployed will dominate data due this week just as officials prepare forecasts backing the rationale for Mario Draghi’s surprise interest-rate cut.

http://www.bloomberg.com/news/2013-11-25/europe-twin-woes-fester-in-draghi-job-to-inflation-fight.html

Deutsche Bank, which has unveiled some large public recruitment plans in recent weeks, is currently in the midst of a global hiring freeze. . .
http://news.efinancialcareers.com/uk-en/155819/deutsche-bank-has-rolled-out-a-global-hiring-freeze/

A former trader was sentenced to 2 1/2 years in prison on Tuesday for an unauthorized purchase of about $1 billion in Apple Inc stock that eventually led to the demise of financial services firm Rochdale Securities. . .

http://www.reuters.com/article/2013/11/19/us-usa-crime-rochdale-idUSBRE9AI1BR20131119