Guide Note

Jerome Kerviel has been named as the rogue trader behind the 4.9 Billion Euro ($7.4 Billion) fraud at French bank Societe Generale. According to his former professors, he was an undistinguished student at the University Lumiére Lyon 2. His former coworkers also agree he was "not a star", which has led some to question if he is in fact the mastermind behind the trading scandal, or merely a scapegoat. Kerviel has stated that his superiors were aware of what he was doing, but chose to ignore it. On Wednesday, March 12, it was announced that a second trader had been arrested in connection with the scandal.

Fast Facts

1. Born: January 11, 1977
2. Hometown: Pont-l'Abbé, Brittany
3. 2002: Masters, Finance, University Lumiére Lyon 2

• Experts say that, if a two-week vacation were mandated for all employees, it would stop rogue trading, as traders could not keep all the balls in the air while on vacation without access to internal computers. They also state that Jerome Kerviel's lack of vacation time taken should have been a red flag to his supervisors.¹
• " “I was singled out by Société Générale. I am taking my share of responsibility, but I will not be the scapegoat,” Mr. Kerviel said."²