4. Toshihide Iguchi Toshihide Iguchi, a former trader, for Japan's Daiwa Bank racked up huge losses through unauthorized trades over a period of eleven years and successfully hid it from his bosses in Tokyo.
His trades out of the New York branch cost the bank $1.1 billion in losses. In addition, the trader embezzled $570,000 from the bank. In 1995 he confessed to his employers at Daiwa Bank and pleaded guilty to charges of fraud and conspiracy. A Manhattan Court sentenced the bond trader to four years in prison and ordered him to pay a $2 million fine. U.S. regulators in 1996 ordered Daiwa to close its U.S. operations after finding it guilty of lying to regulators to cover up Iguchi's fraud. The bank paid a $340 million fine and shut its New York offices.