EU Cap & Trade market rocked by theft

[Schadenfroh]

http://www.reuters.com/article/idUSTRE70J2GU20110120

he European Union will re-open its emissions trading scheme step by step as security improves, after a possibly concerted theft by hackers of carbon permits worth up to 30 million euros ($40.5 million), EU officials said.

The EU on Wednesday imposed a week-long freeze on spot trade in its carbon market, the bloc's chief weapon for fighting climate change, after emissions permits called EU allowances (EUAs) were stolen from accounts in the Czech Republic and Austria.

The latest attack follows a multi-billion-euro VAT fraud, a phishing scam and a scandal involving the re-sale of used carbon credits.

"This market is really suffering, and once again we are revisited by the same issues of fraud," said one trader.

You know the carbon market is becoming big business when criminals launch significant coordinated efforts to defraud it. I am not familiar with the EU Cap and Trade system, is it similar to the one proposed in America? Is it working (ie improving the living conditions of the people of Europe) or has it been corrupted to the point where it is only lining the pockets of traders? Likely too early to tell either way.

 

[101mpg]

Related: http://news.yahoo.com/s/ap/20101219/ap_on_he_me/us_pollution_fund_raids

In the US it's the governments raiding the funds, they tax businesses saying that they need the money to offset their pollution, then instead they use the money to shore up their state budgets that they've recklessly spent into oblivion. Best scam ever.

 

[JS80]

lol cap and trade...everyone knew this would happen.

 

[CanOWorms]

Europe is the new third world. Corruption like this is the norm.

 

[Slew Foot]

Haha, stupid liberals