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>> at shell, we believe the world needs a broader mix of energies. that's why we're supplying cleaner burning natural gas to generate electricity. and it's also why, with our partner in brazil, shell is producing ethanol, a biofuel made from renewable sugar cane. >> a minute, mom! >> let's broaden the world's energy mix. let's go. >> and now, bbc world news. >> the banking giant, hsbc made loans to launder billions of dollars. the bank became a gateway for drug money says -- because u.s. regulators failed to act.

hello. i am at george with the world of news and opinion. also in the program, the latest clashes in the capital market a turning point. it could make the job a lot harder. the local political athletes from around the world get to know their new friends and neighbors. it is midday here in london. 7:00 a.m. in the morning in washington where, in a few hours, executives from hsbc will become the latest of bankers to be courted in the spotlight. it will allow mexican drug cartels to launder billions of dollars. expect apologies from the bankers. something we're getting used to

on both sides of the atlantic. but there will be plenty of questions still. but >> hsbc's business practice from mexico to the middle east are under scrutiny after a eight year-long probe by the u.s. senate. they spoke to dozens of people, including senior bank executives. >> there were not worried. to check the control. the answer was, no. which is carried on. that was an enormous lapse of concentration. they said, yes, we did not do it right. >> its focus on hsbc having lax control of dealings. of suspiciousd

fronts for north korea, syria, and iran. $7 billion in cash moved from mexico to the bank. as the drug enforcement agency was fighting a war on drugs across the border, would only reach a level if they were tied to profits from narcotics. we believe that this case will provide important lessons for the global financial system. hsbc executives are expected to make a formal policy when they are groomed to buy u.s. senators in washington on tuesday. >> this giant bronze lion has been guarding the asia headquarters since the early

1920's. he represents a good luck and good fortune. two qualities that the bank will need plenty of. bbc news, hong kong. >> our business presenter is here. given what we just heard, you would of thought share prices have gone all the way down. that has not happened. >> absolutely. they have traded in hong kong. >> sorry. a mistake there. i will keep talking. this is traded in hong kong. it traded in london. share prices up about 0.25%. part of the reason, we're being told by the experts, is this has gone on for decades. this investigation by the u.s. senators has taken one year. they have reviewed nearly 1.5 million documents.

at the end of the day, we have to remember that we are talking about a global giant. hsbc processes more than $1 trillion each and every day. that is what goes through the banking system. it has 110 million customers. it has 200,000 employees. it is a bank that does very well as making a lot of money and it pays its shareholders. shareholders know there will continue operating and making a lot of money. it is hugely embarrassing for the bank. he built the the actual statement, a bank allowed the bank to act as a fine answer to clients seeking a shadowy funds from the world's most dangerous. >> they're not mincing words. >> they are not mincing their words. we know they are going to apologize. they're going to say that we're going to make an absolute commitment.

the whole global baking industry -- let's have a listen. >> what we had three years ago, for example, with the failure of lehman's. in financial terms, that was much bigger. three years down the line, these are the scandals. it gives a clearly public opinion against bankers. investors will start shying away again. all this uncertainty surrounding them. >> he is talking about banking in general. devon questioned by politicians today. it does raise the question about what they have been doing for all of these years. >> absolutely. it highlights that. it highlights criticism because

they failed to properly monitor hsbc. this whole global picture, the question is, where were all of these regulators? today, at the treasury committee, here in britain, we have this 0 libor, inter-bank lending scandal going on. number 1 and number 2 of the bank here. the bank of england, and dexter, takes on further regulatory powers. one of the other questions i had to ask was, at the end of the day, who is responsible for this? is it the bank itself or the regulators? >> everybody is partially guilty for this. the truth is that all parties involved do not want this to happen. there is no conceivable way that they would let this happen if the new was happening. i think we will find solutions.

>> the company did drop the ball. they could be facing about $1 billion. >> big laundering, big money. >> exactly. >> a changing in the guard is underway. they have promoted a new marshall, the rise of the relatively unknown to the vice marshall was announced by the north korean state media on tuesday. >> what do we know, if anything, about this new man? >> very little in deed.

he was relatively unknown until now. we know he has had an army career. he was made a general a couple of years back. he is one of only a handful of vice marshals and the country. all eyes are on him to see if he will be promoted again. the key position was vacated. >> having a look through some agents reports on this. there have been several other changes that he has made. he has made a conservative effort to stamp authority on things. >> what is really interesting about what is happening at the moment is exactly that question. is this a sort of political risk between the senior elders who

apparently have been put in charge of managing this transition? or, is it the young leader himself deciding that now is the time to stamp his authority and to show them who is boss. remember when that took place and he came to power. he was seen as very young and inexperienced. he needed men like that to stand up and give him support. now, it could well be that he has decided he is the one who needs to show he has authority over the army and of the men around him. >> there is some sort of power struggle going on. it does not really tell us about whether he will take a new direction apart from his grandfather's policies. >> no.

it is a bit confusing at the moment. he came to power emphasizing the military first policy. he has made lots of visits to army bases. really wanted to show him to be the commander in chief. business as usual. on the other hand, there are lots of rumors coming out of north korea who is still allied with assistance. things are changing. in fact, there is a new, younger feel to the power structure in north korea. his personal style is very different to his father's. his leadership and style is much warmer, much more relaxed. he is even jovial. that is a very different feel to his father. whether that does mark a change of political direction is something that people in the south are watching very closely.

>> in the it is calling to investigate the fatal shooting of a citizen by the u.s. navy. the boat was approaching one of its ships at a rapid pace. a warning was given before the crew used forest. three others on the motor boat were wounded. the incident is being investigated by the u.s.. the have launched a campaign to protect humpback whales. the campaign group is worried that a natural gas product will to serve -- will disturb the sensible grounds. they insist risk to what life will be kept at a minimum. they have been rescued after the fire broke out. the work is for 150 meters

underground when a truck engine erupted. they spent seven hours taking refuge in safety changes. the company in charge of the gold mine says there was never any risk of the gold mine exploding. >> activists in serious say there is more of fire around the capitol today. in the north and northeast of the city, having started in the south on sunday. meanwhile, as russia continues to resist western calls for tougher action against the violence there. what we can expect from today's talks. >> we know some of the points that president putin will be making at these talks. we expect the russian leader to call for the implementation on all sides.

all sides of the conference to implement the agreement. we also expect to call for fresh talks, but no talk of sanctions. the russians are quite clear. there will not sign up to a un security council resolution that would threaten damascus with sanctions. >> coming up in about 15 minutes, we will speak to the editor in chief in russia and global affairs magazine. that is live in moscow. it still to come, we will have an exclusive report radicalism is suspending their control. hungary is under increasing pressure to arrest a man

suspected of being a notorious nazi war criminal. the 97-year-old is accused of assisting in the murder of more than 15,000 jews when he was a police chief and hungary. >> protests outside of the man who is believed to be one of the most-wanted nazi criminals. he is suspected of participating in the murders of 15,000 jews. acting on information from the nazi hunting organization, a reporter found him quietly in this apartment. there has been calls for authorities to act. authorities say their process has been slowed because the events happened so long ago. >>that leads to frustration from campaigners to say the case is strong.

>> a trial certainly will not take place in hungary. they protect him. the police and prosecutors knew very well where he was and did not do anything about it. there is no reason to believe the trial will take place. after the war, he escaped to canada but fled back to budapest 15 years ago after being stripped of his canadian citizenship. now campaigners say his age does not mean he should be spared a trial. >> if you find someone who happens to be living between us, someone who is responsible for not one or two, but thousands of people's lives, adding that could be a good example for the future of generations that everyone should know there is possible for their actions. >> authorities say they may bring charges after considering new evidence that he is not been seen since he was challenged by reporters.

>> this is a gm t from bbc world news. the headlines. american senators have accused hsbc to allow mexican drug money to be laundered. fighting is reported in the syrian capital as they prepared to ask russia to back tougher sanctions. two people have been killed at least 19 injured after a a party in toronto. a teenage girl and a man in his 20's died at a barbecue in the cities and. this aid is the most serious crime toronto has ever seen. >> this is not only unprecedented in toronto, this is the worst incident of gun violence in my memory and anywhere in north america.

it is a very shocking event. it appears to been a dispute. >> the police chief there. radical new muslim islamists have destroyed at least half of the tombs in the city of timbuktu. the people have been practicing a moderate form of muslim. could they ever do this stricter version? they're trying to find and send this report. >> chanting their hypnotic prayers'. most practice a minor form.

[unintelligible] these are the pictures of last week's destruction. there are central to the beliefs. the loss of these shrines has caused great sadness. the brutal fourth says it is against the basic principles of islam. islamists militants lead to al qaeda. they also force cushions out of the northern towns.

>> i was scared because they said they would impose it in timbuktu. i cannot follow it. if they did impose it, i would be their first target. >> the leader of islamic radicals has taken over the northern regions. they distance themselves from the rebels actions. >> a hard line has been growing in recent years returning from study in saudi arabia. they come back with funding for these mosques. >> i approve. i wish it would be a state, but this method is wrong. these factors should be driven out with the same force that came in with.

the is honest arms curbs is unanimous for now. there is a fear that this could lead to religious divide. it is not just world heritage and sacred tombs, the way of life for generations. >> a russian rocket carrying a three-man crew has balked at the international space station. they have joined colleagues already in space. the hope the four-month mission will restore confidence in the space program. they're expecting and president levels of traffic in the coming weeks. of the athletes are continuing to fly in the head of the games. some have been here for weeks.

the athletes have been taking time out of their busy schedule to meet the local community. he has been to meet some of them. >> it is not every day that the man did to test themselves against an african sprint champion. it has been a busy few weeks. they have been training, but also building bridges with local people, making new friends. >> have you heard of it before you came here? >> we are in national committee. that is where we started.

i want to know more, but i did not know. >> it is great. we are, of course, a long way away from london here. but the olympic spirit which is this far have been getting a chance to meet a real-live olympic athlete. >> tell me why. which is like watching. who wins and stuff. >> who do think you'll be supporting? >> you'll be supporting camera as well? >> wherever you live in the u.k., chances are you have been close to an olympian. from the big, to the very small.

mrs. from allowing all eight of them. they have been posted. >> it is a once-in-a-lifetime opportunity. it gives them a slice of the olympic action. they got out and about around the community. we have to be very mindful of what they are here to do. this to make sure they of young children in primary school get to see the athletes. >> for the swimmers, it means the chance to use to our wonderful weather and an outside a pool. there never used a 50-meter heated pool. >> of course, i enjoy swimming. at home, we do not have a community pool. >> for these athletes, these

gains represent the pinnacle of their careers. a once-in-a-lifetime opportunity. a chance to play their parts in london 2012. bbc news. >> that is more like the olympic spirit we keep hearing about. if you want to keep up with the olympic torch, make sure you visit our website. we have created a special page live as it makes its 8000 multiplied across the u.k. and we would also like to hear from you. will you be watching where you are? wherever your story, let us know. e-mail us. before we go, a reminder of our top story. top officials from hsbc are set to face a hearing at the u.s. senate.

the bank is accused of having lax control. the bank has been hit hard by reports of with over 1 million documents. huge sums of mexican drug money almost certainly passed through. the banks already knowledge that in the past -- acknowledged that in the past. we're just taking a break.