By Rachel Witkowski
WASHINGTON -- Deutsche Bank AG has agreed to pay $157 million in penalties to the Federal Reserve over alleged violations of rules on foreign-exchange trading and proprietary trading.
The Fed on Thursday said Deutsche Bank failed to detect that its foreign-exchange traders were using electronic chatrooms to talk about trading positions with competitors. The bank, according to the Fed, also didn't have in place an adequate compliance program with the Volcker rule, which prohibits banks from proprietary trading.
Deutsche Bank has been ordered to pay $156.6 million in fines, address theviolations and cooperate with any investigations of individuals involved in the foreign-exchange trades.
The settlement is related to a broader investigation of several global banks that were accused of colluding to move foreign-currency rates for their own benefit.
--Aruna Viswanatha contributed to this article.
Write to Rachel Witkowski at firstname.lastname@example.org
(END) Dow Jones Newswires
April 20, 2017 16:58 ET (20:58 GMT)
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