No i believe that government agencies are necessary when dealing with regulating large financial structures. almost everyone is familiar with the housing crisis in 2008 which was in a way caused by unregulated mortgages and securities. However there are many cases currently that show that government intervention is needed. The case of banking giant HSBC and money laundering comes to mind. The international bank has admitted to laundering money for mexican drug cartels, organized crime, and others. The bank has been forced to pay a fine of almost $2 billion and a few managers have been fired. Although the government does have regulation on banks many time that regulation fails to be effective. when this happens and people, like those at HSBC, are left to self regulate and often an outcome like this is the case. although not everyone is going to take advantage or break the rules when no ones looking, there are those who will and for that reason the government needs to regulate some organizations.
Do you think the fine on HSBC and more government regulation will stop something like this from happening again?
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