UBS Will Pay $1.5B in Libor Scandal
Investigators' findings 'do not make for pretty reading'
By Liam Carnahan, Newser Staff
Posted Dec 19, 2012 4:33 AM CST
The logo of Swiss bank UBS is seen in Zurich, Switzerland.   (AP Photo/Keystone, Steffen Schmidt, File)

(Newser) – Swiss banking giant UBS will indeed pay a hefty $1.5 billion in fines in the wake of the Libor rate-rigging scandal—a much larger fine than Barclays had to dole out for its role, and the second largest penalty American and British regulators have ever imposed on a financial institution, the New York Times reports. Investigators also squeezed a guilty plea out of UBS' Tokyo branch to one count of wire fraud, in the first criminal charge a banking subsidiary has copped to in more than a decade.

“The findings we have set out in our notice today do not make for pretty reading,” says a British enforcement director, who slammed "UBS traders and managers” for ignoring "the fundamental importance" of the "integrity of the benchmarks." For its part, UBS' chief executive says he and his colleagues "deeply regret this inappropriate and unethical behavior," reports the BBC.

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Showing 3 of 3 comments
Dec 22, 2012 5:41 AM CST
Iguess it is not.
Dec 22, 2012 5:40 AM CST
Am I approved or not?
Dec 19, 2012 11:51 AM CST
The fines, penalties and litigation costs will mean that USB will lose money this year. However, the executives responsible for the crimes still have their jobs. Apparently, the Stockholders haven't learned anything from their loss.