Carbon Report: Market growth hit by fraud

Some argue fraud in the carbon markets is an old story – but has the market fully recovered and will post-2012 changes to the legislative framework be sufficient to stem further cases? Katie Holliday reports

Perhaps because the notion of using financial markets to solve the problem of global warming is contentious in itself, it is not surprising that critics have seized upon incidents of fraud as an opportunity to dismiss the market's worth. Market participants, however, are adamant that the market has bounced back and such incidents are merely teething problems typical of the formation of a new market.

The most prevalent fraudulent activities have included: tax fraud such as missing trader intra

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