Sins of past, present and future haunt banks

This week alone, Deutsche Bank (DBK.DE), UBS (UBSN.VX) and Lloyds (LLOY.L) revealed mounting legal bills and Dutch agricultural specialist Rabobank became the latest lender to be fined in a global scandal over interest rate rigging with a $1.1 billion penalty. Bankers fear that paying for the sins of the past and preventing future misdemeanors could be the biggest headache yet for an industry still trying to bulk up on capital and liquidity reserves in the wake of the 2007-09 financial crisis. "This is a new world of regulation that has emerged post the financial crisis and I think the whole industry is struggling to catch up with it," Mike Rees, head of wholesale banking at Standard Chartered (STAN.L) told Reuters. JPMorgan (JPM) - which had emerged from the financial crisis as the poster child for good risk management - is close to a record $13 billion settlement with U.S. authorities over the mis-selling of mortgage-backed bonds.

via Business News - Yahoo Finance http://finance.yahoo.com/news/sins-past-present-future-haunt-000241537.html