Banks accused of silver price manipulation
Duncan Richardson, News Editor
28 Jul 2014, 10:45 a.m.
The Bank of Nova Scotia, HSBC and Deutsche Bank have all been accused of manipulating the silver price. The three banks have been named in a U.S. lawsuit filed in the State of New York.
Investor, Scott Nicholson, has accused the banks of abusing their positions to manipulate the silver price to the detriment of investors. Nicholson is now hoping other investors will come forward so a class action lawsuit can be launched.
Deutsche bank resigned its seat on both the gold and silver fix earlier this year following an investigation by German regulator Bafin into possible gold and silver manipulation.
In May Barclays Bank was fined £26m by the Financial Services Authority for allowing one of their traders to manipulate the gold price.
A number of banks are also under investigation by financial regulators for potential manipulation of the Euribor and Libor interbank lending rates.