This implies that the Federal Reserve have appropriate supervisory authority. Moreover, the new regulatory structure must retain our flexibility to respond to changes in the structure of the financial system, especially where such changes cannot easily be forecast in the wake of significant legislative changes. Systemic crises occur very rarely by their very definition.
The investigations revealed that the rate contributions made by banks to determine the sacrosanct benchmark rate, which is used to settle trillions of dollars of loans and transactions worldwide, was being consistently and deliberately wrongly reported by several banks (Deutsche Bank, Societe Generale, Citigroup, Royal Bank of Scotland, Barclays, UBS, J P Morgan Chase), over a period of time, for monetary gains, in violation of market standards and codes.