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Most Shocking Headline: Biggest Fraud in Banking History


Banks have been going through big drama from the beginning of the year all the way through the end. In January, a French rogue trader named Jérôme Kerviel managed to lose about $7.2 billion with a series of bogus transactions. The 31-year old trader was responsible for betting on the markets' future performance for his employer, French bank Societe Generale. The enormity of this scandal ($7.2 billion!) makes it one of the shocking headlines of 2008.

The affects of the huge loss were realized by law enforcers and Kerviel was sent to jail — only to be released after three months in prison. He walked out of jail and into a job offer from Lemaire Consultants & Associates. The company specializes in computer security and system development, and while Kerviel had very little IT experience and his degree is in finance, his demonstrated knowledge of electronic risk controls got him the job.

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