At the Pentagon, overpriced fuel sparks allegations — and denials — of a slush fund

The Pentagon has generated almost $6 billion over the past seven years by charging the armed forces excessive prices for fuel and has used the money — called the “bishop’s fund” by some critics — to bolster mismanaged or underfunded military programs, documents show.

Since 2015, the Defense Department has tapped surpluses from its fuel accounts for $80 million to train Syrian rebels, $450 million to shore up a prescription-drug program riddled with fraud and $1.4 billion to cover unanticipated expenses from the war in Afghanistan, according to military accounting records. read more »

Brazil's "Operation Car Wash" involves billions in bribes, scores of politicians

Operation Car Wash, one of the largest bribery cases ever investigated, is being led by a small group of idealistic, young Brazilian prosecutors and a crusading judge

Lead prosecutor Deltan Dallagnol says Operation Car Wash is much bigger than Watergate: over 200 people charged for hundreds of crimes.

The massive Brazilian investigation started when police found evidence that a former top executive at a government-controlled oil company, Petrobras, had accepted a bribe.

Judge Sergio Moro and prosecutors have been willing to use controversial tactics to fight financial crime. In 2014, Moro held 20 top execs from 8 major companies without bail for months. read more »

Former Barclays trader receives $1.2 million fine, industry ban

The Federal Reserve announced on Friday that it had imposed a $1.2 million fine on a former Barclays Plc foreign exchange trader, and barred him from the banking industry.

The ban on the former trader, Christopher Ashton, had been previously announced in August. The enforcement action was finalized on Friday, after Ashton failed to respond to court proceedings.

The former trader allegedly used chat rooms to coordinate investments and disclose confidential information in foreign exchange trades, the regulator said.

The action followed the board's May 2015 enforcement actions against Barclays for unsafe and unsound practices related to foreign exchange markets, the Federal Reserve said. read more »

Bernie Madoff photos offer rare glimpse of convicted fraudster in prison

The Guardian publishes two images of Madoff in prison garb that are believed to be the only photographic public records of the grand swindler behind bars. read more »

Planet Money: On Why India Made Most Of Its Money Worthless

India's prime minister recently decided to make almost all of the cash in his country worthless. He said it was meant to stop corruption. It turns out, that idea came from a very surprising source. read more »