AIS Capital Management files lawsuit against the 5 Gold Fix banks
Duncan Richardson, News Editor
11 Mar 2014, 10:12 a.m.
U.S. Investment firm AIS Capital Management has filed a lawsuit against the 5 permanent members of the London Gold fix alleging that the banks colluded to manipulate the gold price.
The Connecticut based firm filed the class action late on Monday in the district court in southern New York. The lawsuit is for damages incurred by AIS and other investors who traded gold and gold derivative since 2004.
The five members of the gold fix are HSBC Holding, Barclays Bank, Deutsche Bank, Bank of Nova Scotia and Societe Generale.
The gold fix is benchmark used by industry participants such as central banks and jewellers to price deals. This latest news closely follows Deutsche Bank decision to sell its seat on the fix following an investigation by the German regulator into possible gold price manipulation.