RBC sued

TORONTO — Royal Bank is calling “absurd” a lawsuit filed against it by U.S. regulators that alleges it engaged in hundreds of millions of dollars in sham futures trades to reap tax benefits on its holdings of company stocks.

TORONTO — Royal Bank is calling “absurd” a lawsuit filed against it by U.S. regulators that alleges it engaged in hundreds of millions of dollars in sham futures trades to reap tax benefits on its holdings of company stocks.

The Commodity Futures Trading Commission lawsuit against Royal (TSX:RY), says the bank also concealed the true nature of the trades and made false statements to a futures trading exchange.

Royal says in a statement it consulted stock exchanges and the commission itself for guidance when the trades were made and got no objection from either.

The bank says it’s “absurd” that the CFTC is now alleging the trading activity was either fictitious or wash sales.

The agency said it is the largest case it has brought against so-called wash trades, which cancel each other out.

The CFTC alleged Royal Bank made the trades in stock futures contracts from 2007-10 with two foreign subsidiaries.

Just Posted

First Sylvan Lake pot shop to open Saturday

Valhalla Cannabis will open after eight months in limbo

Red Deer RCMP arrest man for arson after vehicle fires

A Red Deer man is facing arson charges after two vehicles were… Continue reading

Red Deer teacher to get schooled on battlefields

Juno Beach Centre will host 20 Canadian teachers

PM’s official residence becoming a costly ‘debacle,’ say Conservatives

OTTAWA — Nearly four years after Justin Trudeau opted not to move… Continue reading

New Zealand wins World Triathlon mixed relay race in Edmonton

EDMONTON — Team New Zealand, trailing the field early, stormed back in… Continue reading

Canadian swimmer Maggie MacNeil swims to world gold

GWANGJU, Korea, Republic Of — Canadian swimmer Maggie MacNeil has won the… Continue reading

Quebec dubbing industry works to stay afloat as streaming platforms gains steam

MONTREAL — Few people will recognize his face, but Tristan Harvey has… Continue reading

A year later, ceremony commemorates victims of the Danforth shooting

TORONTO — The names of the two people killed in a shooting… Continue reading

Relief in sight for southeastern Canada following weekend heat wave

MONTREAL — Relief is in sight for sweltering Canadians after a weekend… Continue reading

Trudeau’s former right-hand adviser playing role in Liberal election campaign

OTTAWA — With three months to go now until the election, the… Continue reading

Hotels face battle over whether to help US house migrants

DETROIT — There’s a new target in the clash over immigration: hotels.… Continue reading

Most Read