Biology of Business

Barings Bank

Banking · Founded 1762 · Defunct 1995

By Alex Denne

Barings Bank's 1995 collapse after 233 years demonstrated how a single rogue trader could destroy a century-old institution. Nick Leeson's unauthorized derivatives trading in Singapore lost £827 million—more than the bank's capital. The mechanism failure was control absence—Leeson controlled both trading and back-office settlement, enabling undetected fraud.

Key Leaders at Barings Bank

Nick Leeson

Trader

Key Facts

1762
Founded