Jerome Kerviel trial begins in Paris

The trial of 'rogue trader' Jerome Kerviel has got underway in Paris on Tuesday. Mr Kerviel is accused of losing his former bank Societe Generale around €4.5 billion ($5.36 billion) through unauthorized trades he made.

The firm says that Mr Kerviel made these trades without its knowledge and covered his tracks by inventing fictitious transactions.

However, the trader states that Societe Generale was aware of what he was doing and actively supported his actions until the deals became public knowledge, reports the Guardian.

"I was wrong and committed errors, faults even, but I was serious and efficient at work and the fact my bosses protected me and I was promoted during my short career shows this," he said in a recently-published book.

If he is found guilty, Mr Kerviel may be given a jail sentence of five years.

In 2008, Societe Generale was fined €4 million for its role in allowing the trading losses to take place.

Filipinos in Canada swindled out of remittance money

Filipinos who sent money through a remittance center discovered that they had been cheated out of their money. An estimated Can$100,000 worth of remittances never reached their intended recipients in the Philippines.

Ofelia Hermosa is a victim of a remittance company which allegedly stole money she gave them to send back home. Hermosa used the maximum limit on her credit cards just to raise more than Can$8,000 to send to her ailing mother. Being a patron of “Jak En Poy”, she sent her money through the store.

Several days later, she found out that her mother still had not received anything. When she confronted the owners, they blamed their agent in the Philippines who allegedly ran off with all the other remittances.

Albert Quidalos, who also lost more than Can$1,000 to Jak En Poy, estimates that about 90 other Filipinos got promissory notes from owners Danny and Irene Ongkeko. He said Danny Ongkeko assured him, he would return the money. But when Quidalos went back to the agency, he discovered the store has already changed its name and now has new owners.

Quidalos and Hermosa are asking other victims to join them in filing charges against the Ongkekos. But Gina Oliveros, a contract worker in Langley, British Columbia, said she cannot afford lawyer’s fees.

Another victim, Leopold Dallo also hopes that the Ongkekos will hear their pleas and return the money.

But Ed Gloriani, who lost Can $2,500, is taking action against the couple. He asked a relative in the Philippine National Police to track down the Ongkekos, who are believed to have gone back home in the Philippines to hide from their claimants here.

Documents reveal that as early as November 2009, Danny Ongkeko had already filed for bankruptcy, which when approved, will make it harder for their victims to get their money back.

Kenya' April remittances up slightly: Central Bank

Kenyan remittances rose slightly to $52.68 million in April from $52.31 million a month earlier, and were up from $48.12 million in the same month last year, the Central Bank of Kenya said this week.

"The pick up in April ... can indirectly be attributed to improving economic conditions in the regions of origin, and improved prospects for economic recovery at home," the bank said in a statement.

The central bank said the main source of the money remained North America followed by Europe.

Typically, Kenyans living abroad send money back home to help their families and to invest in various sectors like real estate.

They sent a total of $609 million last year, down from $611 million in 2008. Remittances rank among the country's top sources of foreign exchange alongside tourism, tea and horticulture.

Mobile banking - iPhone and iPad offer the possibility of Money transfers via MasterCard

MasterCard has launched its MasterCard MoneySend service for iPhone and iPad owners to allow them transfer money in the United States from from iPhone or iPad's. MasterCard MoneySend is now available for free download at the iPhone App Store.

Using MasterCard MoneySend option customers in the US can initiate or request money transfer via their iPhone with participating banks and credit unions, or when they create a virtual prepaid account through Bancorp Bank that is linked to an existing MasterCard payment card or checking account.

Registered MoneySend users have the ability to:

• Accept credit or debit card payments
• Send money to family members 
• Pay for informal goods and services 
• Request money from people who owe you money
• Simplify business or non-profit collection effort the Request Funds feature
• Manage MoneySend transaction history from an iPhone or iPad.

EU Court of Justice shows only national Internet gambling firms can be licensed

The European Union Court of Justice (ECJ) has released the rulings on the two cases this week which indicate that EU countries can impose bans on online gambling companies if their aim is to combat fraud. The rulings brought by the ECJ are related to the cases considered by lower courts in the Netherlands.

British bookmaker Ladbroke was taken to a Dutch court by De Lotto, a Dutch non-profit-making foundation which offers games of chance, who asked the injunction on the UK firm’s online gambling operations on the grounds they are not licensed in the Netherlands.

Ladbrokes appealed to the Dutch Supreme Court after the lower court backed De Lotto. And the Dutch Supreme Court asked the ECJ in 2008 to rule whether the Dutch licensing system was compatible with EU law allowing for the free movement of goods and services across the 27-country European Union.

Another case was brought by Betfair, the world's largest online gaming exchange, who disputed the Dutch authorities’ decision to decline a license while they had granted similar licenses to two Dutch companies. The court again sought guidance from the ECJ.

The ECJ backed the position of the lower Dutch court on Ladbrokes.

"Such a restriction may be justified, in particular, by the objectives of consumer protection and the prevention of both fraud and incitement to squander money on gambling, as well as the need to preserve public order," it said. It cited the same rationale for the Betfair case.

"The grant to such an operator of exclusive rights to operate games of chance, or the renewal of such rights, without any competitive tendering procedure would not appear to be disproportionate in the light of the objectives pursued by the Netherlands legislation," it said.

Consultancy H2 Gambling Capital estimates the European interactive market could be worth as much as 12.6 billion euros ($15.50 billion) by 2012, up from 8.3 billion euros last year.

Remittances - Andhra Bank links with UAE Exchange Centre for faster service

Public sector lender, Andhra Bank has entered into an agreement with UAE Exchange Centre of Kuwait in order to bring up a special scheme which would facilitate speedy remittances to its customers.

The service would allow NRI customers to remit money from any of the UAE Exchange Centres located in Kuwait. This money would be credited to the accounts of Andhra Bank customers across all 1,560 branches of the bank in India. The amount would be credited the next day after being remitted.

An SMS alert would be generated to the beneficiaries in India confirming that the amount has been credited to their account, the bank said.

Payments – New SEPA Council aims to kickstart EU payments convergence

The European Commission and European Central bank have hosted the first meeting of the SEPA Council, a new body created to guide the future development of the Single Euro Payments Area project. The meeting brought together top-level representatives - both users and suppliers in the European payments market.

Participants from the users side included consumers, retailers, businesses/corporates, small and medium-sized companies, and national public administrations. Payment supplier representation comes from the European Payments Council (EPC), co-operative banks, saving banks, commercial banks, and payment institutions. In addition, four national central bank board members represent the Eurosystem.

The establishment of the new body follows strong criticism of the SEPA governance structure and the lack of consultation with end-users. At the EBAday meeting in Luxembourg earlier this month, banks too expressed their concerns about the expense of the project, its sluggish returns and the failure of national governments to support the scheme.

Internal market commissioner Michel Barnier describes the formation of the Council as "a crucial step forwards" in the realization of an integrated market for payments in euro.

"To achieve the full potential of SEPA, we clearly need to improve user involvement in this project, both from early design to final implementation," he says. "I very much hope that this new Council will act as a catalyst to create a retail payment framework fully meeting the expectations of all actors."

The main issues discussed at the first meeting were the need and conditions to establish migration end-dates for SEPA and the future of a SEPA for payment cards. The Council will meet twice a year for an initial period of three years, say the ECB and the Commission, who will monitor and evaluate its progress over time.

Gertrude Tumpel-Gugerell, ECB executive board member, says the Council will not displace the bank-backed co-ordinating body, the EPC.

"We need to recognize the importance of user involvement for the success of SEPA," she says. "The SEPA Council aims at bringing together, at the highest level, the demand and supply sides of the European payments market, without, however, replacing any of the existing bodies, such as the European Payments Council."