U.S. Sues Former Deutsche Bank Trading Executive Over Role in Mortgage Fraud
Posted: Mon Sep 11, 2017 7:59 pm
The U.S. authorities today filed fraud charges against former Deutsche Bank head of subprime trading, alleging that he sold investors mortgage-backed investment that was secretly expected to lose value.
Register now to the London Summit 2017, Europe’s largest gathering of top-tier retail brokers and institutional FX investors
In filing the civil suit, investigators target Paul Mangione who allegedly engaged in misleading investors about “characteristics of loans backing two residential mortgage-backed securities (RMBS),” although he knew they were doomed to fail.
Mr. Mangione faces potential fines and a possible ban from the financial industry. The exact punishment will ... (read more)