Tags: Bank of America, bid-rigging, Citigroup, Goldman Sachs, government probes, JPMorgan, Lehman Brothers, Mark Zaino, massive fraud, muni bonds, Securities and Exchange Commission, UBS, Wachovia, Wall Street ire, You and Us
Mark Zaino, a former UBS trader who worked on the firm’s derivatives and municipal securities desk, pleaded guilty to fraud and conspiracy charges today in the wide-ranging investigation into sham auctions and bid rigging in financial products sold to municipalities.
Zaino is the first banker to plead guilty to charges and he has agreed to cooperate with investigators. Another banker at Bank of America, who participated in the massive bid-rigging scheme, is also providing information to the Feds about the scam. Read more »
Tags: Bank of America, bid-rigging, Citigroup, Goldman Sachs, government probes, JPMorgan, Lehman Brothers, massive fraud, muni bonds, Securities and Exchange Commission, UBS, Wachovia, Wall Street ire
If you thought the SEC’s charges against Goldman Sachs poured fuel on an already-raging populace fire, Wall Street’s involvement in a massive bid rigging scandal in the $2.8 trillion municipal bond market will fan the flames even more.
Earlier this month, we heard about an SEC investigation of conflicts of interest at big banks that bought credit default swaps on muni bonds they sold to state and local governments. But Bloomberg is out with a big investigative piece today about a massive bid-rigging scandal in the muni market that, if true, bilked 160 state agencies, local governments and non-profits out of hundreds of millions of dollars. Read more »