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U.S. judge picks monitor for Deutsche Bank over regulator's choice 

October 21, 2016

Nate Raymond, Reuters

A U.S. judge on Thursday approved a U.S. Commodity Futures Trading Commission deal with Deutsche Bank AG in which a monitor would be appointed to ensure the bank reports swaps data properly, but named someone other than the regulator's choice.

U.S. District Judge William Pauley in Manhattan, who previously warned he had a duty to not simply "rubber stamp" settlement agreements, agreed the appointment of an independent monitor was warranted. But Pauley said that after reviewing three candidates the CFTC submitted to serve as monitor, including its preferred and vetted choice of Chatham Financial, he decided to conduct his own search.

As a result, Pauley said that he had picked Paul Atkins of Patomak Global Partners. Though the settlement did not require the monitor to provide reports to the court, Pauley said he would confer with Atkins "as necessary and appropriate." Conferring with the monitor, Pauley said, would enable the judge to fulfil his "duty to ensure this consent order serves the public interest."

The ruling came as Deutsche Bank continues to face other legal troubles, particularly a demand by the U.S. Justice Department that it pay $14 billion (£11.41 billion) over the sale of toxic mortgage-backed securities. Read more

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