Bank Negara Forex Scandal Case Study

Ishar singh was established to investigate the case from.

Bank negara forex scandal case study. It was decided to seek assistance from the agc said kanason who is the seventh witness called by the rci on the losses suffered by bnm due to forex trading in the 1990s. In february the cabinet formed a special taskforce to investigate murad s allegations which culminated in yesterday s announcement that an rci will be convened to investigate. Tan sri nor mohamed yacop tan sri jaffar hussein plaza accord royal commission of inquiry rci bank negara malaysia bnm foreign exchange forex foreign currency assets and liabilities currencies. The ghost of bank negara malaysia s bnm epic foreign exchange trading losses said to have run into tens of billions during the 80s and 90s has reawakened.

Malaysia s very own bank negara was also involved in risky forex trading which landed it in serious trouble and resulted in a loss estimated to be as high as rm30 billion. The bank negara forex scandal resulted in rm30 billion loss the scandal took place between 1991 to 1994 when bank negara engaged in large scale speculation activities in the international foreign exchange market landing it in serious trouble and resulting in a loss estimated to be as high as rm30 billion. In her testimony to the royal commission of inquiry rci here today former bank negara malaysia bnm governor tan sri zeti akhtar aziz conceded that the foreign exchange forex losses scandal of the 1990s remains a dark episode in the history of the central bank. He said the auditor general s department asked for legal advice sometime in 1990 whether the trading in foreign exchange by bnm was in compliance with section 31 a of the central bank of malaysia act 1958.

Former second finance minister claims responsibility for hedging mistake made in 1990s. The case above illustrates the high risks involved in trading in financial instruments. Posts about forex scandal written by wtf. The bank negara governor tan sri jaffar hussein has taken the proper and honourable step to resign to accept full responsibility for the bank negara forex losses but no lesson would be learnt from the colossal bank negara forex losses unless there is a full investigation into the causes and circumstances of the losses as well as the full chain of accountability of all those who must.

The losses incurred by bank negara malaysia in foreign exchange in the. International reserves of bank negara malaysia as at 15 october 2020 22 oct 2020. Online ordering payment and delivery facility for sale of commemorative currency issued by bank negara malaysia 12 oct 2020. That the bank negara forex scandal was dug up to.