Article Abstract:
The Treasury and Civil Service Committee has ruled that banks must operate under a structure which can be effectively regulated and bank regulators have the responsibility to ensure that financial institutions comply. This emerged as the Committee ruled that the Bank of Credit and Commerce International SA (BCCI) was guilty not only of fraud, but also of improper management and insufficient financial regulations. Apparently, government control and evaluation of BCCI were hampered by the bank's uncommon structure and by its operation of branches beyond the Bank of England's jurisdiction.
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Article Abstract:
Arthur Boulter is the new head of the Chartered Institute of Public Finance and Accountancy's local government division. Boulter discusses his civil service career and his plans for CIPFA. Aside from being responsible for local government finances, Boulter is continually preparing advisory reports. He is also planning an intensive training program for institute members and preparing for the Apr 1992 council tax. Boulter also explains the CIPFA's stand concerning the legality issue of the interest rates swap and the collapse of the Bank of Credit and Commerce International.
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Article Abstract:
The UK Treasury and the UK Civil Service Committee have issued a report on its investigation of the Bank of England for its failure to take immediate and decisive action against the Bank of Credit and Commerce International SA. The report focuses on two phases in BCCI's activities in which the Bank of England should have intervened. The report concludes that the Bank of England would rather maintain depositors' confidence rather than inform them of the financial status of the banks they invest in.
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