Morgan Stanley fined $22 million over alleged bond-market 'pump and dump' scheme

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Morgan Stanley fined $22 million over alleged bond-market 'pump and dump' scheme
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The bank bought French bond futures to prop up its Belgian bond holdings and sell the latter assets, the Autorité des Marchés Financiers alleged on Tuesday.

Morgan Stanley was fined €20 million by French regulatory authorities over allegations that its London traders used"pump and dump" methods to manipulate French and Belgian bond prices. The Autorité des Marchés Financiers alleged on Tuesday that the bank influenced the bonds in June 2015 after a bet on French debt threatened to hit a $20 million loss limit.

Morgan Stanley was fined €20 million by French regulatory authorities over allegations that its London traders used"pump and dump" methods to manipulate French and Belgian bond prices. The Autorité des Marchés Financiers alleged on Tuesday that the bank influenced the bonds in June 2015 after a bet on French debt threatened to hit a $20 million loss limit.

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