PhotoFederal prosecutors have charged two HSBC bankers with fraud in connection with a $3.4 billion foreign exchange transaction in 2011. Mr. Johnson is expected to appear before a federal court in Brooklyn Wednesday afternoon. Federal prosecutors contend that Mr. Johnson and Mr. Scott, who is 43, used the information about their client’s currency transaction to trade ahead, pocketing a $3 million profit for the bank. In 2014, HSBC was one of five banks to reach a combined $4.25 billion settlement with United States, British and Swiss regulators over accusations that the banks had conspired to manipulate currency rates. The transaction was undertaken following the sale of Cairn’s India subsidiary to Vedanta, which is owned by the mining magnate Anil Agarwal.

Source: International New York Times July 20, 2016 13:56 UTC