It has been a freakishly long-time - like almost three months - since Deutsche Bank got fined for something. And this kind of quiet is what keeps John Cryan up at night, wondering what deeper meaning lives in the subtle vibration of his smartphone. Pondering whether the coming dawn will bring another scandal-caused bloodletting or just another run-of-the-mill über-embarrassing executive defection.
But tonight Johnny Cryin will sleep, because the US Federal Reserve has taken pity on the poor gent and freed him from the mental prison of his own uncertainty. At last, Deutsche Bank has again been fined hundreds of millions of dollars:
The Federal Reserve on Thursday announced two enforcement actions against Deutsche Bank AG that will require the bank to pay a combined $156.6 million in civil money penalties. The bank will pay a $136.9 million fine for unsafe and unsound practices in the foreign exchange (FX) markets, as well as a $19.7 million fine for failure to maintain an adequate Volcker rule compliance program prior to March 30, 2016.
In levying the FX fine on Deutsche Bank, the Board found deficiencies in the firm's oversight of, and internal controls over, FX traders who buy and sell U.S. dollars and foreign currencies for the organization's own accounts and for customers. The firm failed to detect and address that its traders used electronic chatrooms to communicate with competitors about their trading positions. The Board's order requires Deutsche Bank to improve its senior management oversight and controls relating to the firm's FX trading
Sleep tight, Sweet Prince.