BANKS REFUTE SOUTH AFRICAN COMPEITION COMMISSION’S ALLEGATION OF FOREX RIGGING

PRETORIA– Commercial banks in South African which have been implicated in the rigging of foreign exchange dealings of the Rand against the US dollar say the Competition Commission has failed to provide enough facts regarding the alleged collusive transactions.

The 23 banks were giving testimony before the Competition Tribunal during the second day of the Competition Tribunal hearings Tuesday.

Most of the banks which gave testimony on Tuesday want the tribunal to dismiss the cases against them because of lack of evidence. They again argued jurisdiction, prescription and that there is no proof that they participated in collusive transactions.

They have also argued that the matter has been prescribed because it happened three years ago. The alleged collusive transactions took place from 2007 to 2013.

The banks are said to have made massive profits by manipulating the Rand-US dollar rate and the competition commission says consumers have suffered the consequences of this.

The competition commission has refuted claims that it took too long to investigate this case, saying it was only made aware of it by Absa Bank three years after the collusive transactions took place.

Its investigation found that the banks had a general agreement to collude on prices for bids in relation to currency trading.

Source: NAM NEWS NETWORK