Competition Commission hopes to prosecute more banks

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The Competition Commission says it is confident that its cooperation with five out of 28 banks will assist it in prosecuting the remaining banks in the foreign exchange case.

The five banks will provide evidence that will assist the commission in the case.

This follows protracted legal battles.

Yesterday, the commission and the Standard Chartered Bank reached a settlement agreement in which the bank will pay an administrative penalty of R42.7 million.

According to a statement, the UK-based SCB admitted liability to the manipulation of the USD/ZAR currency.

The settlement brings to an end a dispute over allegations that the bank colluded with other banks to manipulate the rand-dollar exchange rate.

Standard Chartered is the second bank to reach a settlement agreement with the commission.

The commission’s Divisional Manager for Cartels, Makgale Mohlala says, “Standard Chartered has undertaken to cooperate with the commission in the prosecution of the other respondent banks. And most importantly, they have undertaken to provide the commission with evidence that is in its possession. [Evidence] that will assist the commission in the prosecution of the remaining three banks that are currently being prosecuted.”

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