One-man home trader 'helped trigger £500 BILL. stock market crash: held for causing 'Wall St chaos'

[Surya Gayatri]

* Navinder Singh Sarao, 37, 'made £27m' manipulating the stock market

* US prosecutors want to extradite the father-of-two to face trial in New York

* 'Hound of Hounslow' allegedly used his PCs to 'spoof' market in his favour

* Six agencies on both sides of Atlantic have been investigating him

* Mr Sarao is due to appear before Westminster Magistrates' Court today





WHAT IS MARKET 'SPOOFING' AND HOW DOES IT WORK?

'Spoofing' is an illegal practice that sees fake trades placed and then cancelled in a matter of seconds to artificially manipulate the market.

Navinder Singh Sarao, 37, now dubbed the 'Hound of Hounslow', faces extradition to the United States for allegedly making £27million ($40million) in illegal trades from home over five years.

Sarao, a married of father of two, is accused of causing the Wall Street 'Flash Crash' on May 6, 2010, when £570billion ($850 billion) was wiped from the value of America's biggest companies, and allegedly made him £550,000 in five minutes.

He is accused of using computer programmes to create fake transactions on an exchange run by Chicago-based CME Group Inc – all from his three-bedroom home in Hounslow, West London.

http://www.dailymail.co.uk/news/article-3049633/Trader-helped-trigger-500bn-crash-semi-London-man-held-causing-Wall-Street-chaos.html

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This guy just ingeniously used flaws inherent in 'market driven' capitalism. He should be applauded, not arrested, non?

[Demeter]

1. He just didn't have the Federal Reserve's blessing

they have the Plunge Protection Team doing shit like this every day to move the market up,up,up...that's what High Frequency Trading (HFT) is all about.

When they do it, it's managing the economy....when someone else does, it's illegal.

[Surya Gayatri]

3. ^^^This!^^^

[GreatGazoo]

2. And what about CME? It was their system that allowed fake transactions.

[SamKnause]

4. He should be extradited

when Jamie Dimon, Lloyd Blankfein

and all the Wall Street wolves are arrested and

prosecuted.

Computers are manipulating the NYSE every second

of everyday.

I am tired of the lies and bullshit !!!!

[Surya Gayatri]

5. ^^^This!^^^