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Breaking rules != serious issues People speed all the time, no one thinks twice about it. They know they're speeding, they know they're breaking the rules, but

Breaking rules != serious issues People speed all the time, no one thinks twice about it. They know they're speeding, they know they're breaking the rules, but the culture they're in doesn't care. I don't know enough about LIBOR rates in banking culture, but it seems possible this is a similar situation.

jacquesm 10y ago
> Breaking rules != serious issues In a nutshell, this is why we're seeing all these financial scandals and stockmarket melt-downs every so many years. Because the perception has become that if you break the rules it is not a serious issue, no matter what level of society you are operating at. If you start equating speeding with breaking banking rules something is fundamentally wrong (not that speeding is ok, but the impact of say going 10 km over the limit versus wrecking the economy seems to be of a qualitatively different level).
- milesskorpen 10y ago
  Not all rules & rule violations are created equal — embezzling money is different than deleting an innocuous email. Also, 'rules' don't mean 'legal requirement' necessarily.
  - mannykannot 10y ago
    Deleting an innocuous email became a rule violation because of all the times a substantive email was deleted under the cover of allegedly being innocuous.
raesene6 10y ago
Well in banking, it's very important that there's trust in the system. Senior staff in UK financial institutions risk being barred from the industry if they're found to have broken rules and there's a reason that kind of penalty is in play. Libor rates are quite serious as the outcome of trades depends on them. Each trade has a "winner" and a "loser" so if one side can choose the outcome they're essentially cheating the other side out of money. The equivalent would be going to a casino where they can arbitrarily change the odds of winning to suit them, during the game.
Nomentatus 10y ago
Too good an argument since it also justifies the subprime mortgage scandal, and more.

jacquesm 10y ago

> Breaking rules != serious issues In a nutshell, this is why we're seeing all these financial scandals and stockmarket melt-downs every so many years. Because the perception has become that if you break the rules it is not a serious issue, no matter what level of society you are operating at. If you start equating speeding with breaking banking rules something is fundamentally wrong (not that speeding is ok, but the impact of say going 10 km over the limit versus wrecking the economy seems to be of a qualitatively different level).

milesskorpen 10y ago
Not all rules & rule violations are created equal — embezzling money is different than deleting an innocuous email. Also, 'rules' don't mean 'legal requirement' necessarily.
- mannykannot 10y ago
  Deleting an innocuous email became a rule violation because of all the times a substantive email was deleted under the cover of allegedly being innocuous.

raesene6 10y ago

Well in banking, it's very important that there's trust in the system. Senior staff in UK financial institutions risk being barred from the industry if they're found to have broken rules and there's a reason that kind of penalty is in play. Libor rates are quite serious as the outcome of trades depends on them. Each trade has a "winner" and a "loser" so if one side can choose the outcome they're essentially cheating the other side out of money. The equivalent would be going to a casino where they can arbitrarily change the odds of winning to suit them, during the game.

Nomentatus 10y ago

Too good an argument since it also justifies the subprime mortgage scandal, and more.