NatWest Finds Lax Internal Controls As Factor Behind Concealed Losses

BANKS

The results of NatWest Markets' independent investigation into the £77 million options trading loss caused by former bank trader Kyriacos Papouis, concludes that Papouis deliberately concealed the loss by mispricing his books over a two-year period. The independent investigation was conducted by Linklaters & Paines and Coopers & Lybrand.

Moreover, the report says Papouis' concealment was made possible by operational weaknesses and lax internal controls at NatWest's interest rate options group