European Knight
05-20-2015, 08:29 AM
http://www.wsj.com/articles/ubs-pleads-guilty-in-libor-case-1432100750?mod=djemalertEuropenews
UBS became the latest global bank to plead guilty to crimes in the U.S. and was slapped with $545 million in fines, after authorities probing the manipulation of foreign-exchange rates tore up a three-year-old immunity agreement with Switzerland's biggest lender.
UBS said it isn't being criminally charged as part of a broader foreign-exchange investigation, but that its conduct prompted the Justice Department to void a separate agreement struck in 2012 that spared the bank from charges related to manipulation of the London interbank offered rate, or Libor.
The bank will plead guilty to wire fraud and pay a fresh $203 million fine related to the Libor case. In addition, it will pay a $342 million penalty to the U.S. Federal Reserve, for "engaging in unsound business practices" related to its foreign-exchange business.
UBS is one of several big banks, including Barclays, J.P. Morgan Chase, Citigroup and Royal Bank of Scotland, that are expected to settle probes into manipulation of foreign-exchange markets with U.S. authorities.
UBS became the latest global bank to plead guilty to crimes in the U.S. and was slapped with $545 million in fines, after authorities probing the manipulation of foreign-exchange rates tore up a three-year-old immunity agreement with Switzerland's biggest lender.
UBS said it isn't being criminally charged as part of a broader foreign-exchange investigation, but that its conduct prompted the Justice Department to void a separate agreement struck in 2012 that spared the bank from charges related to manipulation of the London interbank offered rate, or Libor.
The bank will plead guilty to wire fraud and pay a fresh $203 million fine related to the Libor case. In addition, it will pay a $342 million penalty to the U.S. Federal Reserve, for "engaging in unsound business practices" related to its foreign-exchange business.
UBS is one of several big banks, including Barclays, J.P. Morgan Chase, Citigroup and Royal Bank of Scotland, that are expected to settle probes into manipulation of foreign-exchange markets with U.S. authorities.