[mattduke]

"There are no foolproof systems," says Harvey Pitt, who was chairman of the U.S. Securities and Exchange Commission in 2001-2002. "You always worry about the possibility of rogue traders."

reuters

[shakespear1]

The "Rouge trader" story is starting to smell like the blue cheese the french so love (I do too).

The following blog story may shead a bit of light why something may be fishy with this whole story.

$this->bbcode_second_pass_code('', 'The piece also says that Kerviel, “misappropriated other people’s computer access codes.”

Two factor authentication has been standard in the finance industry for years. Simply: Two different authentication methods are required for access to critical systems. Access is only granted when a user supplies his or her credentials (username and password) ALONG WITH some other security token, usually a cryptographic security token that is displayed on a small device. (Biometrics are an option for the other factor.) The cryptographic signature changes every several seconds. It is synced with the server that is providing authentication. The token is usable only once, and within a very narrow time window.

In other words, when they’re saying that Kerviel, “misappropriated other people’s computer access codes,” did he go around and ask to borrow their one-time-pass cryptographic token generators, as well as their usernames and passwords?

I really don’t know what this situation at Societe Generale represents, but I can tell that it’s not the work of one man.

No way.')

Ronin