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UK Citizen in Jail for Causing "Flash-Crash", or Just High-Frequency Trading?

posted by n1 on Sunday May 24 2015, @02:11PM   Printer-friendly
from the justice-is-blind dept.

Whoever writes:

Nainder Sarao sits in jail because he cannot raise the £5M bail that is required for his release. He has apparently made millions while living in his parents' basement, but doesn't have access to the money because his accounts have been frozen. What is claimed by US authorities is that "... Mr Sarao placed "spoof" trades in E-Mini S&P derivatives in a bid to push the market in his favour. The orders would be placed and withdrawn in rapid succession using a customised computer programme, they allege", which sounds a lot like high-frequency trading. Perhaps his real crime was to copy the techniques of wealthy high-speed traders?

 
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  • (Score: 0) by Anonymous Coward on Sunday May 24 2015, @04:33PM

    by Anonymous Coward on Sunday May 24 2015, @04:33PM (#187188)

    who had flagged his trades as suspicious as early as 2008

    So he was on their radar for at least two years before he "flash crashed", and they didn't do anything about his trades? Then they waited almost five years before they arrested him for the 2010 "flash crash"?

    I think Willie Sutton [wikipedia.org] should have become a banker. Then he never would have been arrested.