The Business podcast: RBS report and rogue traders

The spetacular failure of the Royal Bank of Scotland in 2008 has been well documented. When the government stepped in with only a couple of hours to spare , the full extent of the bank's indebtedness was only just beginning to become apparent. RBS's well-paid executives such as Sir Fred Goodwin became national hate figures as staff were laid off and the share price took a nose dive . This week saw the official report by the Financial Services Authority - and it spreads the blame far and wide. The finger is pointed not only at the RBS board, but also at its shareholders, at the Labour government , and at the FSA themselves . No one, however, has been found legally responsible. Joining Katie Allen in the studio to discuss this we have the Guardian's City editor and banking expert Jill Treanor . Also this week: we look back at financial scandals that do often end with criminal prosecutions. Bank fraud in the guise of 'rogue trading' is a blight on the industry that has the potential to ruin the biggest banks in the City and on Wall St. So why do the scandals keep happening ? This year saw the arrest of a 31-year old trader at UBS on suspicion of fraud. His case follows the recent conviction of Jerome Kerveil at SocGen. According to financial journalist and author John Gapper , banks could learn something from evolutionary biology: when people are put in stressful situations and start losing money, they can act irrationally. If there aren't the right mechanisms in place, or if firms turn a blind eye to excessive risk-taking, the result can be disastrous. Leave your thought's below. John Gapper's e-book How To Be A Rogue Trader is out now.