Here is an interview of Markopolos on CNBC exposing other frauds.
Foreign exchange (forex) bank custody fraud: State Street and Bank of New York stole billions of dollars in pension funds around the country. They stole 0.3% of every transaction. It's a 50 state case and it's going to be many billions before it's all over.
Forex trades $4.7 trillion every day with no government regulation and everything is over the counter...perfect recipe for fraud.
Foreign exchange can cost 0.03% to the bank. When you're in Europe and you use your credit card, the bank charges you 3% for the currency exchange. The markup is 2.97%.
Twenty percent of Bank of New York's net income (not revenue) is from foreign exchange over-charges.
On their contract, they said it was free...all in cost, no charge, best execution, straight through processing, real-time execution. They've back dated the trades up to 20 hours a day. That's not real-time.Therefore, when you use your credit card, check to see how much your bank charges you for foreign exchange.